United States Current Account2022 Data - 2023 Forecast - 1960-2021 Historical

The US current account deficit narrowed to $251.1 billion in Q2 2022, or equivalent to 4% of the GDP, following a record gap of $282.5 billion in Q1 and below forecasts of a $260.6 billion gap. Still, it is the 2nd highest current account deficit on record as imports of petroleum and products remained strong. The goods gap decreased as exports increased by $52.0 billion to $539.9 billion, and imports went up at a slower pace ($20.8 billion to $850.4 billion). Exports of services rose by $8.4 billion to $225.2 billion, and imports increased by $10.2 billion to $168.2 billion, boosted by personal travel and air passenger transport. Receipts of primary income went up by $21.1 billion to $299.1 billion, led by direct investment, primarily earnings; and payments rose by $16.2 billion to $255.5 billion.

The current account deficit in the US widened to a record high of $291.4 billion in Q1 of 2022 from an upwardly revised $224.8 billion in the previous period and above market expectations of $273.5 billion, mostly due to a surge in imports of goods. Imports of goods increased by $71.1 billion to a record US$829.7 billion, with the biggest gains in consumer goods, industrial supplies and materials, and capital goods as businesses restock inventories to meet strong domestic demand. Meanwhile, exports of goods rose by $13.9 billion to US$487.4 billion, also a record high boosted by industrial supplies and materials, mostly petroleum and products. Finally, receipts of primary income went up by $7.1 billion to $278.6 billion, and payments of primary income increased $10.7 billion to $245.2 billion, amid a rise in portfolio investment income while receipts of secondary income remained stable.

The current account deficit in the US shrank to $217.9 billion, or 3.6% of the GDP in the fourth quarter of 2021 from an upwardly revised $219.9 billion in the prior period, matching market forecasts. The services surplus rose slightly to $49.9 billion from $49.8 billion in Q3, and the primary income surplus also went up to $48.2 billion from $41.9 billion. At the same time, the secondary income deficit shrank to $38 billion from $38.4 billion, mainly due to an increase in general government transfers, primarily fines and penalties and taxes on income and wealth. Meanwhile, the goods gap widened to $274.8 billion from $273.2 billion, as imports jumped $41.8 billion to $756.9 billion whereas exports rose $31.6 billion to $473.5 billion. In 2021, the US current account deficit shot up 33.4% to an all-time high of $821.6 billion, reflecting an expanded deficit on goods. The deficit last year represented 3.6% of GDP, the largest share since 2008 and up from 2.9% in 2020.