The Prime Minister says US tariffs are set to slow the world economy, increase inflation and create currency challenges

New Zealand has been hit with a ten percent tariff on products exported to the US.

Chris Luxon says the US private sector is highly sensitive to any change, and tariffs will lead to an investment slowdown.

He says it's a bad situation all round.

Luxon says US consumers will be hit with less purchasing power, which will in turn slow down the economy.