US trade deficit shrinks in April

[Washington]The US trade deficit has shrunk from its April-March record level as global supply chain disruptions and slowing consumer spending have contributed to lower imports.

The trade deficit of goods and services 8.2% of seasonally adjusted $ 68.9 billion The Commerce Department announced Tuesday in April, compared to a record $ 75 billion gap in March.

Imports were down 1.4% to $ 273.9 billion, while exports were up 1.1% to $ 205 billion.

Imports of affected goods declined Semiconductor shortage, Home appliances, automobiles, parts, engines, etc. Consumer demand for imported goods, such as clothing and toys, slowed from the blazing pace of March, when Americans were most effective from paying the latest government stimulus.

Mahal Rashid, a U.S. economist at research firm Oxford Economics, said trade deficits will return to widening as government spending and vaccine adoption are accelerating a recovery faster than many other developed economies. Stated.

“Domestic demand is recovering amid resumption and rapid improvement in health,” he said, but in many other countries of the world, “demand growth is recovering at a slower pace.” I will do it. “

World trade collapsed in the middle Coronavirus pandemic, As the economy resumed, it recovered this year.Resurrected US Consumer Flashes in Multiple Rounds Government stimulus check And strong employment growth is pushing up import demand. The deficit in the last three months was the largest deficit ever.

At the same time, manufacturers around the world are struggling to meet that demand. Much of the world lags behind the United States in vaccination rates. Disrupted the supply chain This leads to a shortage of important items and delays in manufacturing.

Imports fell further in April, but exports were driven by a $ 1.4 billion increase in commercial aircraft, a $ 1 billion increase in crude oil and an increase in a range of commodities, including an increase in shipments of other petroleum products. Increased.

Both exports and imports have recovered dramatically since a year ago, when the Covid-19-related outage was the most severe. Monthly exports increased by $ 55 billion and imports increased by $ 71 billion from a year ago.

Write to Josh Zumbrun

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US trade deficit shrinks in April

Source link US trade deficit shrinks in April

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