The US trade deficit narrowed slightly to USD 55.2 billion in June 2019 from a revised USD 55.3 billion in the previous month and compared to market expectations of USD 54.6 billion.
Exports from the US dropped USD 4.4 billion from the previous month to USD 206.3 billion in June. Goods exports declined USD 3.9 billion to USD 137.1 billion, due to lower sales of consumer goods (down USD 1.9 billion) such as gem diamonds, pharmaceutical preparations, and jewelry; capital goods (down USD 1.2 billion), including computer accessories, other industrial machinery, and telecommunications equipment; and automotive vehicles, parts, and engines (down USD 0.5 billion) on the back of passenger cars. Exports of services, including travel and transport, decreased USD 0.5 billion to USD 69.2 billion in June.
On a non seasonally adjusted basis, goods exports fell to China (-0.4 percent), Mexico (-8.0 percent), Japan (-6.6 percent), the EU (-3.3 percent), and Canada (-5.1 percent). By contrast, exports to Brazil jumped 8.2 percent.
Imports to the US declined USD 4.6 billion to USD 261.5 billion. Goods imports plunged USD 4.7 billion to USD 212.3 billion due to purchases of industrial supplies and materials (down USD 3.2 billion), in particular crude oil, other petroleum products, and fuel oil; and consumer goods (down USD 0.9 billion) led by cell phones and other household goods while imports of pharmaceutical preparations increased. Imports of services were up USD 0.1 billion to USD 49.2 billion in June.
On a non seasonally adjusted basis, goods imports decreased from all main partners: China (-0.7 percent), Canada (-5.2 percent), Mexico (-4.9 percent), the EU (-9.0 percent), Japan (-0.6 percent), and Brazil (-14.4 percent).
The politically sensitive goods trade deficit with China narrowed slightly to USD 30.0 billion in June from USD 30.2 billion in May; while that with Mexico widened to a record high of USD 9.9 billion from USD 9.6 billion. Also, the trade deficit declined with the EU (USD 14.0 billion from USD 17.2 billion) and Canada (USD 2.9 billion from USD 3.1 billion); but increased with Japan (USD 5.7 billion from USD 5.3 billion).
8/2/2019 1:00:29 PM