Trade Deficit Falls as Exports Hit Record, Imports Slip
Trade statistics released Aug. 6 by the Department of Commerce show that the U.S. trade deficit fell for the second straight month in June, down 7.2 percent to $41.5 billion. Exports edged up 0.2 percent to $195.9 billion, breaking the previous month’s all-time record, while imports dropped 1.2 percent to $237.4 billion. Compared to a year earlier, the June trade deficit was up $5.0 billion as exports increased 2.9 percent and imports grew by 4.6 percent. In addition, the year-to-date deficit has risen 7.1 percent compared to the same period in 2013.
The monthly deficit in goods trade was down 4.7 percent to $60.3 billion. Exports of goods inched up to $136.9 billion while imports lost 1.4 percent to $197.2 billion. The services surplus saw a small 0.5 percent gain to $18.7 billion as exports rose 0.2 percent to $59.0 billion, the second straight monthly record, and imports were virtually unchanged at $40.2 billion.
With respect to individual trading partners, the U.S. saw larger deficits with China (up 4.5 percent to $30.1 billion), Japan (up 5.9 percent to $5.4 billion), Mexico (up 14.0 percent to $4.9 billion) and Ireland (up 33.3 percent to $2.8 billion). Deficits declined with the European Union (down 8.9 percent to $11.2 billion), Germany (down 21.2 percent to $5.2 billion), Canada (down 3.6 percent to $2.7 billion), Saudi Arabia (down 29.6 percent to $1.9 billion), South Korea (down 29.6 percent to $1.9 billion) and India (down 45.8 percent to $1.3 billion).
The U.S. continued to run trade surpluses with Hong Kong (up 24 percent to $3.1 billion), Australia (up 8.3 percent to $1.3 billion), Singapore (down 10 percent to $0.9 billion) and Brazil (down 18.2 percent to $0.9 billion).