Robust imports push U.S. trade deficit to record high in March
WASHINGTON (Reuters) – The U.S. commerce deficit surged to a document excessive in March, confirming that commerce weighed on the economic system within the first quarter and will stay a drag for some time as companies replenish inventories with imported items.
The Commerce Division stated on Wednesday that the commerce deficit accelerated 22.3% to $109.8 billion in March amid a document improve in imports. Economists polled by Reuters had forecast a $107 billion deficit.
The federal government reported final week {that a} document commerce deficit sliced 3.20 share factors from gross home product within the first quarter, leading to GDP contracting at a 1.4% annualized charge after rising at a sturdy 6.9% tempo within the fourth quarter.
Commerce has subtracted from GDP for seven straight quarters. Imports of products and providers jumped 10.3% to $351.5 billion, outpacing a 5.6% rise in exports to $241.7 billion.
(Reporting by Lucia Mutikani; Enhancing by Andrew Heavens)
