U.S. Trade Deficit Widens 42% to $77.6 Billion on Record Goods Imports
Updated
Updated · The New York Times · Jul 7
U.S. Trade Deficit Widens 42% to $77.6 Billion on Record Goods Imports
3 articles · Updated · The New York Times · Jul 7
Summary
$77.6 billion marked the U.S. trade deficit in May, up more than 42% from April as imports climbed and exports fell.
Imports rose 3.3% to a record $395.3 billion, driven by pharmaceuticals, cellphones, cars and equipment for new data centers, while exports dropped 3.2% to $317.7 billion.
Services exports and imports both hit records in May, and petroleum exports also set a high, but weaker shipments of gold, natural gas, computers and pharmaceuticals outweighed that support.
Trump's tariffs have not eliminated the gap: average monthly goods deficits are down about 5% in the 16 months since his return, while demand for AI technology, medicines and other foreign-made goods keeps trade elevated.
Another policy swing may be near, with a stopgap 10% tariff authority due to expire later this month and the administration preparing two Section 301 cases to restore higher levies.