Tariffs Continue To Dampen US Demand For Imports, September Exports Jump

WASHINGTON (MaceNews) - September’s trade data continue to reflect the stop-start impact of tariff policies, with imports remaining depressed despite the announcement of several trade framework agreements and an extension of the tariffs truce with China in August. The September decrease in the goods and services deficit reflected a decrease in the goods deficit and a decrease in the services surplus.

The international trade balance in goods and services narrows to a deficit of $52.8 billion in September after a deficit of $59.3 billion in August (previously reported as -$59.6 billion). The September level is below the consensus of a deficit of $64.1 billion.

The trade balance for goods-only is a deficit of $78.9 billion in September, compared to -$86.1 billion in August. The goods deficit was the lowest since October 2020. The trade balance for services-only is a surplus of $26.2 billion in September, down slightly from $26.7 billion in August.

Total exports of goods and services are up 3.0 percent in September from August to $289.3 billion. Exports of goods are up 4.9 percent in September from the prior month to $187.6 billion, with the exports of consumer goods ($25.2 billion) the highest on record.

Exports of services went from $102.1 billion in August to $101.7 billion in September.

Tariffs also continue to dampen import activity, with the total imports of goods and services up just 0.6 percent in September from August to $342.1 billion. Imports of goods rose 0.6 percent in September from the prior month to $266.6 billion.

September imports of automotive vehicles, parts, and engines ($33.1 billion) were the lowest since November 2022 ($32.5 billion).