US trade deficit narrowed in May, a press statement from Bureau of Economic Analysis revealed. The goods and services deficit amounted to $46.5 billion in May compared to the revised $47.6 billion in April.
The primary reasons for US trade deficit to narrow in May were the increase in $0.9 billion exports to $192 billion from April. Similarly, imports slackened $0.2 billion to $238.5 billion from the preceding month.
Similarly, goods deficit fell $0.9 billion to $67.5 billion whereas services surplus expanded $0.2 billion to $21.0 billion in May. These positives narrowed the trade deficit.
The monthly data suggested that the deficit with the European Union fell $2.6 billion to $10.7 billion. This is because exports increased $0.5 billion while imports fell $2.0 billion. Similarly, trade deficit with China fell $2.0 billion to $30.1 billion. Exports grew $0.6 billion to $11.3 billion whereas imports fell $1.4 billion to $41.3 billion.
For the three-month period, the moving averages of goods and services deficit increased $0.5 billion to $46.5 billion. Average goods and services exports expanded $0.1 billion to $191.6 billion while average imports increased $0.6 billion to $238.0 billion.
For the year-to-date period, US trade deficit widened $27.0 billion or 13.1 percent from the corresponding period of last year. While exports expanded 6.0 percent or $54.3 billion, imports advanced 7.34 percent or $81.4 billion during the period under review.