The United States trade deficit narrowed in April as record exports of petroleum products and capital goods outpaced import growth, providing a potential boost to economic growth in the second quarter.
Data released by the Commerce Department's Bureau of Economic Analysis on Tuesday showed the trade gap contracted 1.2% to US$55.9 billion in April.
March figures were revised lower, with the deficit now estimated at $56.6 billion rather than the previously reported $60.3 billion.
Economists had expected the deficit to narrow to $56.1 billion.
The report indicated that trade flows remained resilient despite ongoing disruptions linked to the U.S.-backed conflict with Iran, which has affected shipping through the Strait of Hormuz.
Tariffs also appeared to have had little impact on overall import demand, while strong investment in artificial intelligence technologies continued to drive purchases of advanced equipment from overseas.
Exports rose 2.6% during the month to a record $327.1 billion. Goods exports climbed 4.1% to an all-time high of $221.3 billion.
Petroleum exports were a major contributor, increasing to a record $36.7 billion from $27.6 billion in March.
The rise reflected both stronger export volumes and elevated oil prices following heightened tensions in the Middle East.
As a net exporter of oil, the United States has benefited from crude prices remaining above $100 per barrel since the conflict began in late February.
The surge in petroleum shipments helped lift exports of industrial supplies and materials to a record $89.0 billion.
As a result, the nation's petroleum trade surplus widened sharply to a record $17.7 billion from $9.4 billion in March.
Capital goods exports also strengthened, rising by $4.0 billion to a record $70.3 billion. The increase was driven by higher shipments of computers and civilian aircraft. Consumer goods exports rose by a further $1.7 billion.
Although imports continued to increase, export growth was stronger overall.
Total imports rose 2.0% to $383.0 billion in April, while goods imports increased 2.1% to $304.9 billion.
Import growth was led by a $7.0 billion rise in capital goods purchases, particularly computers, semiconductors and telecommunications equipment, highlighting the ongoing surge in corporate spending related to artificial intelligence infrastructure and technology upgrades.
However, imports of industrial supplies and materials declined by $0.9 billion as volumes of imported petroleum products fell.
The overall goods trade deficit narrowed 2.8% to $83.7 billion. After adjusting for inflation, the goods trade gap contracted by $1.5 billion, or 1.8%, to $84.3 billion.
Trade has weighed on US gross domestic product for the past two quarters, but the latest figures suggest the sector could make a positive contribution to growth in the current quarter if export momentum continues.
The Atlanta Federal Reserve's GDPNow model is currently forecasting second-quarter economic growth at an annualised rate of 3.3%, a notable acceleration from the 1.6% pace recorded during the first quarter.
