Durrant Pate/ Contributor

The US Census Bureau and the Bureau of Economic Analysis (BEA) are reporting that America’s goods and services deficit is growing.

The latest reports from both American economic data collection entities show that the deficit has jumped by US$20 billion in March to reach US$109.8 billion in March, up from the US$89.8 billion booked in the previous month of February 2022.

Estimates from the Census Bureau and BEA indicate that exports for March increased by US$12.9 billion to US$241.7 billion when compared to February exports. March imports were US$351.5 billion, up US$32.9 billion from February imports.

In March the goods and services deficits rose and reflected a US$20.4 billion increase in the goods deficit to US$128.1 billion and a US$0.4 billion increase in the services surplus to US$18.3 billion. Year to date, the goods and services deficit has climbed by US$84.8 billion, or 41.5 per cent, compared to the same period in 2021.

Exports climbed by US$104.5 billion, or 17.7 per cent, while imports climbed by US$189.3 billion, or 23.8 per cent.

Three-month moving averages

For the three months ending in March, the average goods and services deficit rose by US$9.3 billion to US$96.3 billion. In March, the average exports grew by US$4.5 billion to US$231.7 billion and the average imports climbed by US$13.7 billion in March to US$328.0 billion on average.

In the same month, exports of goods on a census basis grew by US$11.0 billion. Of this, the value of industrial supplies and materials grew by US$7.4 billion and automotive vehicles, parts and engines increased by US$1.0 billion.

In March, exports of services grew by US$1.2 billion to US$71.1 billion. Transport climbed by US$0.5 billion. Travel rose by US$0.4 billion. Financial services increased by US $0.2 billion. Other business services gained US$0.1 billion.

In March, imports of goods increased by US$32.0 billion to US$298.8 billion. Census-based imports of goods by US$31.5 billion, of this, industrial supplies and materials rose by US$11.3 billion. 

Consumer goods climbed by US$10.0 billion, capital goods climbed by US$5.2 billion and automotive vehicles, parts, and engines increased by US$3.2 billion. Service imports rose by US$0.9 billion to US$52.7 billion, mainly due to a US$1.2 billion in transportation and a US$0.8 increase in travel.

However, this was offset by a US$1.2 billion decline in changes for the use of intellectual property. Notably, the real goods deficit increased US$21.9 billion to US$137.8 billion in March.

Real exports of goods increased US$3.8 billion to US$150.2 billion. Real imports of goods increased US$25.7 billion to US$288.0 billion.