Washington, DC, United States (4E) – The trade gap in the U.S. increased slightly in August due to decline in exports from the previous month, according to data released by the Commerce Department on Thursday that shows tentative growth in the global economy.
Exports were down 0.1 percent in August from the prior month to a seasonally adjusted $189.22bn while shipments to the U.S. were relatively flat at $228.02bn, according to the Commerce Department. The nation’s trade deficit rose 0.4 percent to $38.80bn from a revised $38.64bn in the previous month.
Analysts had predicted the trade gap to fall to $38.6bn from an initial estimate of $39.1bn for July.
Falling exports reflects declining industrial supplies such as nonmonetary gold and oil, and food exported overseas. On a bright note, U.S. producers sold more cars and consumer goods abroad in August.
U.S. imports in August essentially stayed flat at $228.0bn from July. A decline in consumer goods was offset by a rise in imports of services.
The nation’s large deficit with China fell 0.6 percent to $29.9bn as the rise of U.S. exports to the world’s second-biggest economy outpaced a gain in imports.
U.S. trade deficit with the euro zone significantly fell by nearly 26 percent to $8.1bn, driven by lower imports from the common currency bloc.