The U.S. economy shrank 0.3% from January through March, first drop in three years. It was slowed by a surge in imports as companies in the United States tried to bring in foreign goods before President Donald Trump imposed massive tariffs.

The January-March expansion was the slowest in almost three years and was down from 2.4 percent in the last three months of 2024.

The U.S. economy contracted for the first time in three years in the first quarter, swamped by a flood of imports as businesses raced to avoid higher costs from tariffs and underscoring the disruptive nature of President Donald Trump's often chaotic trade policy.

An evenly split U.S. Senate rejected the latest bipartisan bid to block PresidentDonald Trump's tariffs on Wednesday, hours after the federal government reported that the nation's economy contracted for the first time in three years amid the chaos of the president's tariff policies.

A new report shows the first decline in the U.S. economy in three years. Trump urged patience and said his tariffs will lead to boom 'like no other.'

The economy shrank in the first quarter, weighed down by a deluge of goods imported by businesses eager to avoid higher costs, underscoring the disruptive nature of Trump's often chaotic tariff policy.