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Nov 15, 2019

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Why Trump didn’t shrink the trade deficit in 2018

Tracey Samuelson Mar 7, 2019
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President Donald Trump's administration is said to be considering changes to the way the trade deficit is calculated.
Ron Sachs-Pool/Getty Images

Americans imported a record number of goods last year, according to new data from the Commerce Department released Wednesday. U.S. service exports also hit a record high. The net effect was the largest trade deficit since 2008 — $621 billion, up nearly 13 percent from the prior year. However, many economists say the U.S. trade deficit isn’t necessarily a cause for concern. In fact, last year’s growth was largely driven by a strong U.S. economy.

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