US Trade Deficit Widens in July

The US trade deficit widened in July as exports fell and the nation bought more cars and car parts from overseas.

The trade gap rose 13% to $39.1bn (£25bn) compared with June’s $34.5bn, said the US Commerce Department.

Imports of cars, trucks, motoring parts and engines rose to a record $26.5bn. Much of that was supplied by US firms that have plants in Canada and Mexico.

July saw exports fall 0.6% from June’s record level as sales of capital goods, such as aircraft and engines slowed.

However the trend shows that the trade gap is closing.

Including the July figures, the three month average fell to $39.1bn from $39.3bn.

via BBC

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