U.S. trade deficit sinks 18% in October as exports surge to record high
The U.S. trade deficit sank in October, but it’s probably a one-off. Deficits have been running near record highs during the pandemic.
The U.S. trade deficit sank almost 18% in October after the biggest surge in exports in 13 years and a slowdown in imports partly tied to congestion at domestic ports.
The trade gap shrank to $67.1 billion from a record $81.4 billion in the prior month, the government said Tuesday. Economists polled by The Wall Street Journal had forecast a $67 billion deficit.
U.S. exports climbed 8.1% to an all-time high of $223.6 billion. It’s the biggest monthly increase since 2008.
Imports edged up less than 1% to $290.7 billion, but that’s still a record high.
Although imports and exports are now both higher than before the pandemic, global trade is still being disrupted by new strains of the coronavirus. The resulting supply chain problems are likely to persist for a while.
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