US trade deficit contracts 10.8% in August

The US trade deficit narrowed sharply in August as exports rose and imports dropped, according to the latest data released by Commerce Department’s Bureau of Economic Analysis on Tuesday.

The US goods and services deficit contracted 10.8 per cent to $70.4 billion in August from a revised $78.9 billion in July.

August exports stood at $271.8 billion, $5.3 billion more than July exports. Meanwhile, August imports recorded $342.2 billion, $3.2 billion less than July imports.

The August decrease in the goods and services deficit signalled a decrease in the goods deficit of $8.4 billion to $94.9 billion and an increase in the services surplus of $0.1 billion to $24.4 billion.

Year-to-date, the goods and services deficit increased $47.1 billion, or 8.9 percent, from the same period in 2023. Exports increased $79.0 billion or 3.9 percent. Imports rose $126.1 billion or 4.9 percent.

Attribution: The US Bureau of Economic Analysis