Trade Deficit Widens as Imports Rise More Than Exports

Mish

The international trade deficit was $69.7 billion in November, up $1.6 billion from $68.1 billion in October.

The Census Bureau Advance Report on International Trade shows the trade deficit was $69.7 billion in November, up $1.6 billion from $68.1 billion in October.

  • Exports of goods for November were $133.7 billion, $3.8 billion more than October exports.
  • Imports of goods for November were $203.4 billion, $5.4 billion more than October imports.

The deficits were above consensus estimates but the amounts are so small (a net increase of $1.6 billion) that the report will not change GDP estimates much, if at all.

However, the report may cause more protectionist howls from the Trump administration.

Mike "Mish" Shedlock

Comments (2)
No. 1-2
JonSellers
JonSellers

There will be no protectionist howls. Trump has dived into the swamp head first at this point.

Advancingtime
Advancingtime

This must stop! People are naive if they do not recognize the distinct advantage a state-driven economy has over free enterprise, at least initially. A bit predatory in nature, such a system can quickly exploit the weaknesses of its competitors. It is important we recognize China is a state-run economy based on a business model that is geared to expand by crushing the competition.

Subsidizing those companies working within its system in a multitude of ways helps it achieve this goal. Countries that export goods at slightly below cost in exchange for manufacturing jobs are not stupid they are predatory and we in America are their prey. The article below explores the ramifications of this.

http://brucewilds.blogspot.com/2017/12/china-state-driven-business-model.html


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