US Current Account Gap at Lowest Since 2021

2026-03-25 12:41 By Andre Joaquim 1 min. read

The United States current account deficit narrowed to a seasonally adjusted $190.7 billion in the fourth quarter of 2025 from $239.1 billion in the previous period, marking the lowest deficit since the first quarter of 2021.

The goods deficit narrowed to $241.5 billion from $265.9 billion, as imports contracted more than exports, reflecting the impact of tariffs from the US presidential administration.

Additionally, the primary income balance swung to a surplus of $23.9 billion from the deficit of $2.5 billion.

In the meantime, the services surplus inched lower to $81.4 billion from $86.5 billion and the secondary income deficit inched down to $54.6 billion from $57.2 billion.

The gap reflected a current account deficit of 2.4% of the US GDP in the fourth quarter, narrowing from 3.1% in the third quarter.



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US Current Account Gap at Lowest Since 2021
The United States current account deficit narrowed to a seasonally adjusted $190.7 billion in the fourth quarter of 2025 from $239.1 billion in the previous period, marking the lowest deficit since the first quarter of 2021. The goods deficit narrowed to $241.5 billion from $265.9 billion, as imports contracted more than exports, reflecting the impact of tariffs from the US presidential administration. Additionally, the primary income balance swung to a surplus of $23.9 billion from the deficit of $2.5 billion. In the meantime, the services surplus inched lower to $81.4 billion from $86.5 billion and the secondary income deficit inched down to $54.6 billion from $57.2 billion. The gap reflected a current account deficit of 2.4% of the US GDP in the fourth quarter, narrowing from 3.1% in the third quarter.
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