US Trade Deficit Narrows in August, Lowest in Four Months
The United States trade deficit has narrowed down to $45.61 billion in August this year, the lowest in four months.
But trade gap with China widened to a record high for a single month, a new government data showed.
A new government data showed that United States trade deficit has narrowed down in August this year, the lowest in four months. But trade gap with China widened to a record high for a single month.
In a report, the US Commerce Department on Thursday said that the country’s trade deficit moves closer by a notch to $45.61 billion in August 2011 – with export and imports slowing down to $177.6 billion and $223.2 billion, respectively.
In an effort to boost US exports, the Congress has approved free trade agreements with Colombia, Panama and South Korea – ending a four-year impasse in free trade deals.
Obama administration officials said that the free trade deal with the three countries would significantly boost US exports by at least $13 billion annually, and spur jobs creation in the country.
Meanwhile, US trade gap with China jumped to $29 billion in August, the record level for a single month.
Americans continued to hit China over its currency maneuvering, causing major losses to US exports to the Asian economic powerhouse.
On Tuesday, the Senate has passed a legislation allowing the Obama administration to impose fines and higher tariffs to Chinese products sold in the US if China continues to keep its currency artificially low against the dollar.