US Trade Deficit Widens to 2-Year High


US trade gap increased to USD 47.2 billion in April of 2014 from a revised USD 44.2 billion in March, as imports recorded the highest value on record. Purchases of automobiles, capital goods, food and consumer goods all hit record highs in April.

Total April exports of $193.3 billion and imports of $240.6 billion resulted in a goods and services deficit of $47.2 billion, up from $44.2 billion in March, revised. April exports were $0.3 billion less than March exports of $193.7 billion. April imports were $2.7 billion more than March imports of $237.8 billion.

The goods and services deficit increased $6.8 billion from April 2013 to April 2014. Exports were up $5.6 billion, or 3.0 percent, and imports were up $12.4 billion, or 5.4 percent.

In April, the goods deficit increased $3.3 billion from March to $65.8 billion, and the services surplus increased $0.2 billion from March to $18.6 billion. Exports of goods decreased $0.6 billion to $135.1 billion, and imports of goods increased $2.7 billion to $200.9 billion. Exports of services increased $0.3 billion to $58.2 billion, and imports of services increased $0.1 billion to $39.7 billion.

The March to April decrease in exports of goods reflected decreases in capital goods ($0.3 billion); foods, feeds, and beverages ($0.3 billion); automotive vehicles, parts, and engines ($0.2 billion); and consumer goods ($0.1 billion).  Increases occurred in industrial supplies and materials ($0.2 billion) and other goods ($0.1 billion).

The March to April increase in imports of goods reflected increases in consumer goods ($1.1 billion); automotive vehicles, parts, and engines ($0.9 billion); capital goods ($0.8 billion); other goods ($0.3 billion); and foods, feeds, and beverages ($0.2 billion). A decrease occurred in industrial supplies and materials ($0.3 billion).

Exports of services increased $0.3 billion from March to April. The increase was mostly accounted for by increases in financial services ($0.1 billion) and in transport ($0.1 billion), which includes passenger fares. Changes in the other categories of services exports were relatively small.
Imports of services increased $0.1 billion from March to April. The increase reflected increases of less than $0.1 billion in several categories of services.

U.S. Bureau of Economic Analysis | Joana Taborda | joana.taborda@tradingeconomics.com
6/4/2014 2:04:41 PM