Global trade in services slowed down in the first quarter of 2025 (1Q25), with year-on-year growth barely reaching 5% , a figure that represents half the pace observed in 2024 and 2023. This decrease is due to the appreciation of the US dollar against other currencies and the growing uncertainty in the global economy, according to the World Trade Organization (WTO) .
In a statement, the organization noted that this slowdown was reflected in Europe and North America with increases of just 3% in their exports , compared to 8% and 11%, respectively, in the first quarter of 2024. In contrast, Asia managed to maintain more solid growth of 9%. The decline was due to a decrease in the “other commercial services” category, a pillar of world trade that represents nearly 60% of the total.
The “other business services” category showed mixed results. In the United States, it fell from 8% year-over-year in 2024 to 4% this year, while in the European Union, it remained stable in dollar terms, although it increased 4% in euros.
Financial sector exports reflected the greatest weakness, with a growth of just 3% year-over-year in Q1 2025 worldwide . The European Union and the United States grew by just 2%, while the United Kingdom registered a 10% increase, thanks to its increased exports to the United States.
Intellectual property-related services were also affected. Growth fell to 4% year-over-year in Q1 2025. Similarly, construction trade suffered a considerable drop of 15%, reversing the 25% growth recorded during the same period in 2024. This decline is likely due to delayed investments and increased costs.
Despite the adverse climate, IT services were the least affected, driven primarily by the rise of Artificial Intelligence (AI). India and Ireland led this segment with increases of 13% and 9%, respectively.
In transportation services, the increase was 3% in Q1 2025 , driven by rapid growth, especially in the third and fourth quarters of 2024. Asia saw the fastest growth, registering 10%, driven by a 31% increase in China. In South America, Central America, and the Caribbean, demand for goods drove up payments for transportation services by as much as 19%.
International tourism, meanwhile, was the only destination to show a positive increase of 5%, reaching levels higher than those of 2019. In Asia, travel revenue grew by 13%, driven by China, which grew by 96%; Vietnam, by 33%; Japan, by 25%; and Thailand, by 18%. In contrast, in North America, travel revenue decreased by 1%.
During the first five months of 2025, the performance of services trade varied across regions. Asia led the way with export increases, led by China , which grew by 13 percent; followed by India, with 12 percent, and Japan, with 11 percent. In North America, U.S. exports rose by 5 percent, while Canada’s fell by 6 percent. Meanwhile, the European Union’s services exports to third countries grew by 3 percent and its imports by 6 percent, while the United Kingdom stood out with export growth of 9 percent and import growth of 13 percent.
The outlook for services trade in 2025 is uncertain, marked by global trade uncertainty. However, some regions, such as Asia, showed resilience by positioning themselves as the fastest-growing.
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