US Corporate Bankruptcies Surge Amid High Interest Rates and Supply Chain Strains
WASHINGTON, Aug 14 — Rising interest rates, persistent supply chain disruptions, and uncertainty over U.S. tariff policies are intensifying challenges for businesses across the country. The U.S. Federal Reserve kept its benchmark interest rate steady between 4.25% and 4.50% for the seventh consecutive month in July. However, financial pressure on corporations has continued to mount,…
WASHINGTON, Aug 14 — Rising interest rates, persistent supply chain disruptions, and uncertainty over U.S. tariff policies are intensifying challenges for businesses across the country.
The U.S. Federal Reserve kept its benchmark interest rate steady between 4.25% and 4.50% for the seventh consecutive month in July. However, financial pressure on corporations has continued to mount, with the corporate bankruptcy rate in July reaching its highest level since 2020.
According to data, the number of bankruptcies among large public and private companies rose from 66 in June to 71 in July. This brought total bankruptcy filings in the first seven months of 2025 to 446 — the highest figure recorded since 2010.
Economists warn that the combination of elevated borrowing costs, unresolved supply chain bottlenecks, and trade policy uncertainty could push more firms into financial distress in the months ahead.
