The US trade deficit was $50 billion and broke six-year record

The US trade deficit was $50 billion and broke six-year record

The deficit of the trade balance of the United States reached record levels in six years.

On this day, 5 January, said the Ministry of Commerce. According to representatives of the Ministry, the trade deficit increased by 3.2% and amounted to 50.5 billion dollars. This is the highest level since January 2012.

The US trade deficit was $50 billion and broke six-year record

Trade balance is an economic indicator reflecting the ratio of the value of imported goods into the country (import) and value of goods exported outside the country (export). Depending on what prevails, and talking about the deficit or the surplus in the trade balance. It is believed that the predominance of exports proves that an increasing world demand for goods of this country.

Economists polled by Reuters had forecast the trade deficit will increase to 49.5 billion in November, but their predictions were not fulfilled. According to economists, the trade deficit contributes to a steady consumer demand for foreign goods.

According to Reuters, the administration of President Donald trump believes that the new tax reform will increase annual economic growth of 3% and, accordingly, reduce the trade deficit.

Imports of goods in November 2017 reached a record level – in 204 billion dollars. It is noted that the imports from China have not changed, but exports fell by 1.9%.

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