US trade deficit falls to $63.9 billion in September
Matt Ott | Hagadone News Network | UPDATED 4 years, 2 months AGO
SILVER SPRING, Md. (AP) — The U.S. trade deficit fell in September after hitting a 14-year high the previous month as exports outpaced imports.
The gap between what the U.S. sells and what it buys abroad fell to $63.9 billion in September, a decline of 4.7%, from a $67 billion deficit in August, the Commerce Department reported Wednesday. September exports rose 2.6% to $176.4 billion, pushed higher by the food and beverage category, where shipments worth $12.9 billion were the highest since July of 2012. Soybean exports rose 63% in September.
Imports ticked up 0.5% to $240.2 billion, also helped by $13.5 billion in the food and beverage category, which were the highest on record.
Year to date, the goods and services deficit has jumped $38.5 billion, or 8.6%, to $485.6 billion. The total deficit for goods and services for the same period in 2019 was $447.1 billion. Total exports are down 17.4% this year from 2019, while imports have declined by 12.4% as the coronavirus pandemic has sabotaged global commerce this year and disrupted global supply chains everywhere.
The politically sensitive deficit in the trade of goods with China fell about 8% in September to $24.3 billion from $26.4 billion in August. Exports to China in September of $11.5 billion were the highest since March of 2018.
When Donald Trump campaigned for president in 2016 he pledged to sharply lower the country’s large trade deficits, especially with China, which for years has been the country with the largest trade surplus with the United States.
But despite Trump’s confrontational approach on trade with China and a renegotiation of the North American Free Trade Agreement with Canada and Mexico, America’s trade deficits have remained stubbornly high, although the deficit with Mexico fell by $1.8 billion to $10.7 billion in September.
ARTICLES BY MATT OTT
New US home construction dips again in February
WASHINGTON (AP) — Construction of new homes fell again in February, but not as much as the previous month. Those declines follow a December surge which had pushed home construction to the highest level in 13 years.
US services companies grow in February
WASHINGTON (AP) — Services companies grew at a faster pace in February than the previous month, an indication that the economy was still expanding immediately after the first cases of the coronavirus were reported in the U.S.
US services sector grows for seventh consecutive month
SILVER SPRING, Md. (AP) — The U.S. services sector, where most Americans work, grew for the seventh consecutive month in December even as coronavirus cases surged through the holidays.