With all the talk of tariffs and trade war in the news these days it’s…
With all the talk of tariffs and trade war in the news these days it’s good to keep focused on the reason for all the drama: the U.S. trade deficit.
It’s officially called the goods and services deficit by the U.S. Bureau of Economic Analysis, and in June it got bigger.
According to BEA, the goods and services deficit was $46.3 billion in June, up $3.2 billion from $43.2 billion in May, revised.
June exports were $213.8 billion, $1.5 billion less than May exports. June imports were $260.2 billion, $1.6 billion more than May imports.
The June increase in the goods and services deficit reflected an increase in the goods deficit of $3.1 billion to $68.8 billion and a decrease in the services surplus of less than $0.1 billion to $22.5 billion.
Year-to-date, the goods and services deficit increased $19.6 billion, or 7.2 percent, from the same period in 2017. Exports increased $103.6 billion or 9.0 percent. Imports increased $123.2 billion or 8.6 percent.
The June figures show surpluses, in billions of dollars, with South and Central America ($3.3), Hong Kong ($2.5), Brazil ($0.8), United Kingdom ($0.4), and Singapore (less than $0.1).
Why U.S. Trade with China, the European Union and Mexico Gets Talked About
Deficits were recorded, in billions of dollars, with China ($32.5), European Union ($12.8), Mexico ($6.7), Germany ($5.7), Japan ($5.6), Canada ($2.6), Italy ($2.2), OPEC ($1.8), India ($1.7), Taiwan ($1.4), South Korea ($1.3), Saudi Arabia ($0.8), and France ($0.7).
The deficit with members of OPEC increased $1.6 billion to $1.8 billion in June.
Exports decreased $0.8 billion to $5.0 billion and imports increased $0.7 billion to $6.7 billion.
The deficit with the European Union increased $0.9 billion to $12.8 billion in June.
Exports decreased $0.3 billion to $27.2 billion and imports increased $0.6 billion to $40.0 billion.
The deficit with Japan decreased $0.4 billion to $5.6 billion in June.
Exports decreased $0.2 billion to $6.1 billion and imports decreased $0.7 billion to $11.7 billion.