U.S. August Trade Deficit Down 24% Driven by Tariffs


   
Barani Krishnan
DTN Refined Fuels Market Reporter

   SECAUCUS, NJ (DTN) - The U.S. trade deficit fell 24% in August amid full 
implementation of import tariffs imposed by the Trump administration, Commerce 
Department data showed Wednesday (11/19).

   The U.S. goods and services deficit stood at $59.6 billion in August, down 
$18.6 billion from a revised $78.2 billion in July, the Bureau of Economic 
Analysis, a unit within the Commerce Department, said in a news release.

   August marked the first month of full implementation of tariffs announced by 
Trump in April. The four-month delay came as impacted countries attempted to 
negotiate large and unprecedented tariffs imposed upon them.

   In August, U.S. imports fell 5.1% month-on-month to $340.4 billion, while 
exports rose 0.1% to $280.8 billion, the BEA release showed.

   The Trump administration has imposed a baseline duty of 10% on goods from 
most countries, with certain nations, such as China and India, facing 50% or 
more tariffs.

   The U.S. Supreme Court is determining the legality of the administration's 
tariff structure after a lawsuit challenging the president's authority to 
impose the duties under emergency powers.




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