U.S. trade deficit rises in August

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U.S. trade deficit rises in August
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The U.S. trade deficit increased in August as imports of consumer goods surged t...

WASHINGTON, - The U.S. trade deficit increased in August as imports of consumer goods surged to a record high, but the gap with China, a focus of the Trump administration’s “America First” agenda, narrowed.

The Commerce Department said on Friday the trade deficit rose 1.6% to $54.9 billion. The July trade gap was unrevised at $54.0 billion. Economists polled by Reuters had forecast the trade gap would widen slightly to $54.5 billion in August. The United States and China have been embroiled in a 15-month trade war. Washington announced this week tariffs on aircraft, other industrial products and agricultural products from the EU as part of a World Trade Organization penalty award in a long-running aircraft subsidy case.In August, goods exports rose 0.3% to $138.6 billion. They were lifted by exports of soybeans, which rose $0.3 billion.

Goods imports increased 0.6% to $213.0 billion in August. The import bill was boosted by a $1.9 billion surge in capital goods imports to the highest on record. Cellphone imports rose by $1.1 billion.

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