By: Joe Kafchinski
Bolstered by record exports of $178.0 billion, the U.S. international trade deficit in goods and services decreased to $44.8 billion in July from $51.6 billion (revised) in June. The $6.8 billion reduction in the deficit was the largest since a $10.2 billion reduction from January to February 2009.
The overall record in exports was led by record exports of capital goods ($42.1 billion) and automotive vehicles, parts and engines ($12.1 billion) and a $1.2 billion increase in exports of fuel oil.
Imports of goods and services were down $0.5 billion in July. A $2.9 billion increase in imports of automotive vehicles, parts and engines was offset by a $2.5 billion reduction in imports of industrial supplies and materials and $1.0 billion reduction in imports of other goods.
This month’s Foreign Trade Graph of the Month follows up on Rebecca’s blog last month about trade with Japan following the earthquake and tsunami. The graph shows the drop, and subsequent rebound, of U.S. automotive imports from Japan. July 2011 imports ($3.8 billion) were just below July 2010 ($3.9 billion).