US trade deficit falls in February as shortfall with China decreases 28%

CNBC ^ | 04/18/2019 | Jeff Cox

[SeekAndFind]

The U.S. goods and services deficit with its global trading partners fell to $49.4 billion in February, its lowest level since June 2018 and well below estimates, the Commerce Department reported Wednesday.

Economists surveyed by Dow Jones expected the U.S. trade deficit in February to increase to $53.8 billion from $51.1 billion in January.

The decline was due in large part to a 28.2 percent decrease in its goods deficit with China as exports to the nation surged. Exports to China rose $1.6 billion to $9.2 billion while imports fell $1.5 billion to $39.3 billion. That brought the total deficit with China to $30.1 billion.

The report helped boost the view of Wall Street economists on first-quarter GDP growht, which now likely will come in above 2 percent.

Overall, exports for the month rose $2.3 billion to $209.7 billion, while imports increased $600 million to $259.1 billion.

On a year-to-date basis, the goods and services deficit fell 7.6 percent, or $8.3 billion, from the same period in 2018. Exports rose $11.1 billion, or 2.7 percent, while imports increased $2.8 billion, or 0.5 percent.

The move comes amid hopes that contentious trade negotiations between the U.S. and China soon will be resolved. The U.S. last year slapped tariffs on $250 billion worth of Chinese goods, prompting Beijing to institute its own duties against $110 billion worth of American imports.

[cba123]

That checks out?

How?

It seems to do the exact opposite, in fact.

[cba123]

Oh I see. You mean month on month.

You are right, sorry, I get it. But both January and February of this year our exports to China, are lower than they were last year.

But you are right, we did export more in February this year than we did January.

Sorry. :)

[hardspunned]

I guarantee this is why Little Rocket Man is making waves again. The Norks are the only card the Chinese have left to play. I’m sure Trump will double down on both of these countries. I assume they will fold simultaneously.

[TheConservativeTejano]

We are in agreement as to what kind of products they produce in China.

The American worker can produce the best products of any other country, period.

The supplier partnerships that have been developed in this country to have basically all products to be produced outside the continental U.S. is in fact thumbing our nose at the American worker.

We need the American worker since they are the best in the world.

The Supplier Partnership program has laid off so many American workers and it is all for the great $$$ that these U.S. companies are making. We have lost so many industries to the ChiComs all because of the preferred Supplier Partnerships. The Chicoms are stealing U.S. technology.