US Trade Deficit Narrows in June


US trade gap shrank to five-month low in June as imports dropped the most in a year and exports increased slightly.

Total June exports of $195.9 billion and imports of $237.4 billion resulted in a goods and services deficit of $41.5 billion, down from $44.7 billion in May, revised. June exports were $0.3 billion more than May exports of $195.6 billion. June imports were $2.9 billion less than May imports of $240.3 billion.

In June, the goods deficit decreased $3.0 billion from May to $60.3 billion, and the services surplus increased $0.1 billion from May to $18.7 billion. Exports of goods increased $0.1 billion to $136.9 billion, and imports of goods decreased $2.9 billion to $197.2 billion.Exports of services increased $0.1 billion to $59.0 billion, and imports of services were virtually unchanged at $40.2 billion.

The goods and services deficit increased $5.0 billion from June 2013 to June 2014. Exports were up $5.5 billion, or 2.9 percent, and imports were up $10.5 billion, or 4.6 percent.

The May to June decrease in exports of goods reflected decreases in other goods ($0.5 billion) and foods, feeds, and beverages ($0.3 billion). Increases occurred in consumer goods ($0.4 billion); automotive vehicles, parts, and engines ($0.2 billion); and industrial supplies and materials ($0.1 billion). Capital goods were virtually unchanged.

The May to June decrease in imports of goods reflected decreases in consumer goods ($1.3 billion); automotive vehicles, parts, and engines ($1.1 billion); industrial supplies and materials ($0.5 billion); and capital goods ($0.3 billion). An increase occurred in foods, feeds, and beverages ($0.2 billion). Other goods were virtually unchanged.

The June 2013 to June 2014 increase in exports of goods reflected increases in foods, feeds, and beverages ($1.1 billion); automotive vehicles, parts, and engines ($1.0 billion); and consumer goods ($0.7 billion). A decrease occurred in industrial supplies and materials ($0.1 billion). Capital goods and other goods were virtually unchanged.

The June 2013 to June 2014 increase in imports of goods reflected increases in capital goods ($3.4 billion); consumer goods ($2.1 billion); automotive vehicles, parts, and engines ($1.9 billion); foods, feeds, and beverages ($1.2 billion); other goods ($0.1 billion); and industrial supplies and materials ($0.1 billion).

The June figures show surpluses, in billions of dollars, with Hong Kong $3.1 ($2.5 for May), Australia $1.3 ($1.2), Singapore $0.9 ($1.0), and Brazil $0.9 ($1.1). Deficits were recorded, in billions of dollars, with China $30.1 ($28.8), European Union $11.2 ($12.3),Japan $5.4 ($5.1), Germany $5.2 ($6.6), Mexico $4.9 ($4.3), OPEC $3.9 ($4.2), Ireland $2.8 ($2.1), Canada $2.7 ($2.8), Saudi Arabia $1.9 ($2.7), South Korea $1.9 ($2.7), and India $1.3 ($2.4)

US Trade Deficit Narrows in June


US Bureau of Economic Analysis | anna@tradingeconomics.com
8/6/2014 1:42:02 PM