DAVENPORT, IOWA (May 30, 2025) — The Quad Cities Chamber’s Market Report for Q1 2025 dives into how sudden changes in tariffs, especially those with a broad scope, can impact everything from supply chains and inventory levels to GDP growth and inflation. It also explores an interesting phenomenon: Companies pulling forward massive imports in anticipation of new tariffs, leading to short-term economic distortions with possible longer-term implications.
US real gross domestic product contracted slightly as the seasonally-adjusted annual growth rate dipped to 0.2% in the first quarter of 2025, down from a revised 2.4% in the last quarter of 2024. Midwest economic performance continues to lag in the US, though improvement was seen on some fronts, particularly in the labor market. Get the details in our
Regional Market Summary Q1 2025.
As we reported last quarter, Midwest economic performance continues to lag the US, though improvement was seen on some fronts, particularly in the labor market. Other state-level indicators for both Iowa and Illinois declined over the quarter. Local job numbers remain below levels from a year ago, but after seasonal adjustment, payroll employment improved slightly over last quarter. Unemployment, while elevated over last year, remains under 5% in most local counties.The QC Metro gained 1,100 jobs since the end of the fourth quarter. See the numbers in our
Labor Market Update for Q1 2025.
The Business Outlook Survey for Q1 2025, a survey issued by the Chamber, shows local businesses are more optimistic about their own business than about the US economy.
The Market Report is published by Bill Polley PhD, Director of Business Intelligence for the Quad Cities Chamber and is available in its entirety on the Chamber’s website — providing an in-depth analysis of our QC economy.
About the Quad Cities Chamber
The Quad Cities Chamber facilitates business growth to help create a prosperous regional economy where all can thrive. Its work is focused in three strategic areas: Business and economic growth; workforce and talent development; and quality of place. For more information visit quadcitieschamber.com.
