The United States goods and services trade deficit beat analysts' predictions of US$137 billion to a record March high of $140.5 billion - up $17 billion from previous month data as businesses raced to beat the implementation of tariffs.
Exports totalled $278.5 billion for the month of March, while imports climbed to nearly $419 billion - up $17.8 billion, led by consumer goods and in particular pharmaceuticals.
Data from the U.S. Bureau of Economic Analysis shows that the trade deficit year-to-date has almost doubled to $189.6 billion (92.6% year-on-year).
The deficit increase was driven in March by businesses eager to bring goods into the U.S. before import taxes affected profit margins, led by consumer goods and pharmaceuticals.
Imports
($17.8 billion increase)
Increases:
- Consumer goods $22.5 billion
- Pharmaceutical preparations $20.9 billion
- Capital goods $3.7 billion
- Computer accessories $2 billion
- Automotive vehicles, parts, and engines $2.6 billion
- Passenger cars $2.1 billion
Decreases:
- Industrial supplies and materials $10.7 billion
- Finished metal shapes $10.3 billion
- Nonmonetary gold $1.8 billion
- Crude oil $1.2 billion
Exports
($2.5 billion increase)
Increases:
- Industrial supplies and materials increased $2.2 billion
- Natural gas $0.8 billion
- Nonmonetary gold $0.7 billion
- Automotive vehicles, parts, and engines $1.2 billion
- Passenger cars $0.9 billion
Decreases:
- Capital goods $1.5 billion
- Civilian aircraft $1.8 billion
- Computer accessories $0.7 billion
