The July decrease in the goods and services deficit reflected a decrease in the goods deficit of $5.3 billion to $60.3 billion and a decrease in the services surplus of $0.1 billion to $20.9 billion.
Total exports increased 1.9 percent to $186.3 billion, following a 0.8 percent growth in the previous month. Exports of goods increased $3.4 billion to $124.1 billion: foods, feeds, and beverages rose $3.7 billion, with soybeans went up $0.3 billion. In contrast, exports of services decreased less than $0.1 billion to $62.3 billion in July: transport, which includes freight and port services and passenger fares, and financial services each decreased $0.1 billion while travel (for all purposes including education) rose $0.2 billion.
Sales increased to China (+3.8 percent), Brazil (+6.4 percent) and OPEC (+0.5 percent) while fell to European Union (-9.5 percent), Mexico (-6.4 percent) and Canada (-13.9 percent).
Total imports declined 0.8 percent to $225.8 billion, following a 1.9 percent growth in June. Imports of goods decreased $1.9 billion to $184.4 billion, led by pharmaceutical preparations (-$1.0 billion); cell phones and other household goods (-$0.6 billion); and civilian aircraft (-$0.9 billion). In contrast, inbound shipments of services increased $0.1 billion to $41.4 billion.
Imports fell from Canada (-11.1 percent); Brazil (-3.9 percent); European Union (-7.7 percent); and Mexico (-7.6 percent) while rose from China (+2.4 percent) and Japan (+2.0 percent).
Year-to-date, the goods and services deficit decreased $0.5 billion, or 0.2 percent, from the same period in 2015. Exports decreased $63.7 billion or 4.8 percent. Imports decreased $64.2 billion or 4.0 percent.