Trade Deficit Jumps 9.5% to 5-Month High: Exports Down, Imports Up

Trump will howl over the latest trade report. The deficit widened 9.5% to a 5-month high. China and the EU led the way.

The Census Bureau's [International Trade Report](The U.S. Census Bureau and the U.S. Bureau of Economic Analysis announced today that the goods and services deficit was $50.1 billion in July, up $4.3 billion from $45.7 billion in June, revised. ) shows the goods and services deficit was $50.1 billion in July, up $4.3 billion from $45.7 billion in June, revised.

Exports, Imports, Balance

  • July exports were $211.1 billion, $2.1 billion less than June exports.
  • July imports were $261.2 billion, $2.2 billion more than June imports.
  • The July increase in the goods and services deficit reflected an increase in the goods deficit of $4.2 billion to $73.1 billion and a decrease in the services surplus of $0.1 billion to $23.1 billion.
  • Year-to-date, the goods and services deficit increased $22.0 billion, or 7.0 percent, from the same period in 2017. Exports increased $115.7 billion or 8.6 percent. Imports increased $137.7 billion or 8.3 percent.

Goods by Selected Countries and Areas: Monthly Census Basis

  • The deficit with the European Union increased $1.7 billion to $14.5 billion in July. Exports decreased $1.2 billion to $26.0 billion and imports increased $0.5 billion to $40.5 billion.
  • The deficit with China increased $1.7 billion to $34.1 billion in July. Exports decreased $1.0 billion to $11.0 billion and imports increased $0.7 billion to $45.2 billion.
  • The deficit with Japan decreased $0.7 billion to $4.9 billion in July. Exports increased $0.5 billion to $6.6 billion and imports decreased $0.2 billion to $11.5 billion.

I will have more details on an annual basis later today.

Mike "Mish" Shedlock

Comments (16)
No. 1-8
Bam_Man
Bam_Man

Looting the rest of the world to the tune of $600,000,000,000 a year, and then complaining about it.

Chutzpah.

Quagmire
Quagmire

How much of this is accelerated trade to avoid future tariffs ?

KidHorn
KidHorn

Probably due to a strong USD. The irony is tariffs caused the USD to go up because people expected the deficit to shrink but the expectation of a shrinking deficit actually caused the deficit to go up.

Escierto
Escierto

Every time Trump talks about tariffs the USD goes up. Add in Jerome's interest rate hikes and you've got the recipe for all time highs in the trade deficit. I bet money it's going to get even worse.

thimk
thimk

never mind that china makes 80 % of the worlds air conditioners . It is time to rally around old glory and buy American , never mind the price and tariffs, be a patriot, make America great again. Well per this article (2012) the stars and stripes are still predominantly made in the USA. whew ! there is hope for us. /sarc