Trade deficit narrows to $1.5B in October

Trade deficit narrows to $1.5B in October

The trade deficit increased to the highest since January and was above expectations of a Reuters poll of economists who had predicted the October deficit would stand at $47.5 billion.

The U.S. Chamber of Commerce said in a May report that they disagree "with the contention that the goods trade deficit is an appropriate gauge of whether a particular set of trade policies - or trade agreements - is delivering benefits to the American people more broadly".

The politically sensitive trade deficit in goods with China rose 1.7 percent to $35.2 billion from September to October and is up 7 percent this year to $309 billion.

Crude oil imports were up $1.5 billion in October.

Imports rose 1.6 per cent over September to US$244.6 billion, seasonally-adjusted, the highest since the Commerce Department began publishing the statistic in 1992.

Exports to China, meanwhile, were the highest in nearly four years, at US$13 billion.

Other highlights in overall global trade of the USA last month include the highest imports on record from China, from Mexico, and from the European Union.

During his five-nation tour across Asia, the president promoted business deals in Japan, South Korea and China as ways to help lower trade deficits with major trading partners across the Pacific Rim.

It was the second straight month in which the United States trade gap widened, driven in part by goods imported from China of US$48.2 billion, an all-time high, bringing the U.S. trade deficit with that country to US$31.9 billion. Imports increased $146.6 billion or 6.5%. But that was overwhelmed by a $69.1 billion deficit in the trade of goods.

Related news: