US Trade Deficit Narrows in March Amid Rise in Exports

The Commerce Department reported that the US trade deficit shrank to $64.2 billion in March, down $6.4 billion from $70.6 billion in February. March's figures saw exports climb to $256.2 billion, a $5.3 billion increase from the previous month, while imports dropped to $320.4 billion, a $1.1 billion decrease from February.

The reduction in the goods and services deficit in March resulted from a decrease in the goods deficit by $6.4 billion to $86.6 billion and a less than $100 million decrease in the services surplus to $22.4 billion. Year-to-date, the overall goods and services deficit fell by $77.6 billion, or 27.6%, compared to the same period last year, with exports growing by $61.4 billion, or 8.7%, and imports declining by $16.2 billion, or 1.6%.

The average goods and services deficit for the three months ending in March decreased by $1 billion to $67.8 billion. Commerce Department data showed that exports of goods rose by $5.2 billion to $174.3 billion in March, while services exports increased by $100 million to $81.8 billion. In contrast, imports of goods fell by $1.2 billion to $260.9 billion, and services imports increased by $100 million to $59.5 billion.

In March, the US reported trade deficits with several countries, including China at $22.9 billion, the European Union at $15.6 billion, and Mexico at $11.6 billion. On the other hand, trade surpluses were recorded with regions like South and Central America, at $5.7 billion, and countries like the Netherlands, at $4 billion, and the United Kingdom, at $2.9 billion.