US Trade Gap At 9-Month High In November

The trade gap in the United States increased by $2.9 billion to $45.2 billion in November of 2016, from a downwardly revised $42.4 billion in October and above market expectations of $42.5 billion shortfall. It was the biggest trade deficit since February. Exports fell 0.2 percent, due to lower shipments of civilian aircraft. In contrast, imports rose 1.1 percent and reached the highest level in 15 months, driven by crude oil purchases.

The goods deficit widened by $3.4 billion to $66.6 billion and the services surplus rose by $0.5 billion to $21.4 billion.

Total exports of goods and services declined 0.2 percent to $186.33 billion. Sales of goods decreased $0.7 billion to $122.4 billion in November: capital goods decreased $1.8 billion, to their lowest level since September 2011; civilian aircraft declined $1.3 billion while industrial supplies and materials increased $1.5 billion. Exports of services increased $0.3 billion to $63.5 billion, with financial services rose $0.2 billion and travel edged up  $0.1 billion.

Total imports rose 1.1 percent to $231.0 billion, the highest level since August 2015. Imports of goods increased $2.7 billion to $189 billion: industrial supplies and materials increased $2.2 billion and crude oil went up $0.9 billion. Imports of services fell $0.3 billion to $42.1 billion: transport decreased $0.4 billion and travel decreased $0.2 billion.

Year-to-date, the goods and services deficit decreased $4.9 billion, or 1.1 percent, from the same period in 2015. Exports shrank $56.6 billion or 2.7 percent. Imports decreased $61.4 billion or 2.4 percent.

The November figures show surpluses, in billions of dollars, with Hong Kong ($2.5), South and Central America ($2.4), Singapore ($1.0), Brazil ($0.8), and United Kingdom ($0.1). Deficits were recorded, in billions of dollars, with China ($28.4), European Union ($13.8), Japan ($5.7), Mexico ($5.7), Germany ($5.3), Canada ($3.2), Italy ($2.2), South Korea ($2.2), OPEC ($1.9), India ($1.8), Taiwan ($1.3), France ($1.3), and Saudi Arabia ($0.2). The deficit with Canada increased $1.5 billion to $3.2 billion in November as exports decreased $0.7 billion to $21.3 billion and imports increased $0.9 billion to $24.5 billion.

US Trade Gap At 9-Month High In November

BEA | Yekaterina Guchshina |
1/27/2017 2:19:03 PM