US trade deficit widens in May, but narrows with China
Deficit with China shrinks from $32.4B to $27.2B last month
Ovunc Kutlu |
The US’ goods and services trade deficit increased to $71.2 billion in May, according to figures released by the Commerce Department on Friday.
It represents a rise of $2.1 billion, or 3%, from $69.1 billion in April, the agency’s Bureau of Economic Analysis said in a statement.
While US’ exports in May rose 0.6% to approximately $206 billion from the previous month, imports increased much faster – 1.3% to around $277.3 billion.
“The May increase in the goods and services deficit reflected an increase in the goods deficit of $2.3 billion to $89.2 billion and an increase in the services surplus of $0.1 billion to $17.9 billion,” the statement said.
The US’ trade deficit with China, however, decreased to $27.2 billion in May, down from $32.4 billion in April. While exports to China fell less than $0.1 billion to $13.1 billion, imports from China declined $5.2 billion to $40.3 billion.
The US’ trade deficit with Canada and European Union, on the other hand, increased to $4.8 billion and $18.5 billion, respectively.