U.S. Trade Deficit Grows 1.1% in October

The trade deficit with China increased marginally to $27.9 billion in October from $27.8 billion the previous month.
Dec. 11, 2008
2 min read

As a weak global economy hurt both imports and exports and the gap with China widened, the U.S. trade deficit rose 1.1% in October to $57.2 billion.

The trade deficit with China increased marginally to $27.9 billion in October from $27.8 billion the previous month, the Commerce Department report said.

Total trade volume fell 1.7% in October, with declines in both imports and exports. October imports were down 1.4% from September to $208.9 billion while exports dipped 2.4% to $151.7 billion. The total trade deficit for the first 10 months of 2008 was $590.9 billion.

The Commerce Department said that the U.S. trade deficit in goods narrowed by less than 1% to $69.8 billion in October, while the trade surplus in services narrowed by 3% to $12.6 billion.

Exports of civilian aircraft were down 28% to $1.6 billion, which could be partly attributed to a Boeing strike that ended late October.

Net imports of petroleum in October rose by 2.5% to $32.7 billion and experts said the trade deficit would have improved had it not been for the surge in the aftermath of the September hurricanes.

Auto exports dropped by 2.3% to $10 billion, and imports fell by 5% to $17.5 billion, both figures reflecting an upward revision of September data.

The trade deficit with Canada, the U.S. largest trading partner, narrowed by 21% to $6 billion in September. The gap with Mexico, the second largest trading partner, narrowed by 2.8% to $4.8 billion.

The deficit with Japan rose to $6.0 billion from $5.6 billion.

Copyright Agence France-Presse, 2008

About the Author

Sign up for IndustryWeek Newsletters
Get the latest news and updates.

Voice Your Opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!