October 18, 2002

By Andrzej Zwaniecki
Washington File staff writer

Washington - The U.S. trade deficit, fueled by growing consumer demand for foreign-made goods, jumped to a record $38,460 million in August from $35,100 million in July, the Commerce Department reported.

Imports rose from $118,000 million in July to $120,300 million in August to reach their highest level in 17 months as exports dropped from $82,900 million to $81,800 million -- declining for the first time in six months, according to figures released by the department October 18.

The goods deficit increased by 8 percent to $42,300 million while the services surplus decreased by 5 percent to $3,800 million.

Accounting for the upsurge in imports of goods were consumer goods such as pharmaceuticals, television sets, furniture and household appliances and industrial supplies and materials. Higher oil prices also contributed to the increase.

Drops were reported in the major U.S. export categories of capital goods, foods, feeds, beverages, autos and auto parts, and consumer goods.

In August the U.S. bilateral trade deficit with China went up to $10,856 million while that with Western Europe declined to $7,031 million. Other large deficits were reported with Japan, $5,269 million; Canada, $4,150 million; Mexico, $3,482 million; Taiwan, $1,308 million; and Venezuela $1,266 million.

Following are some key figures:

	Trade balance	Exports	Imports
Jan.-Dec. 2000	-378,681	1,064,239	1,442,920
Jan.-Dec. 2001	-358,290	998,022	1,356,312
Jan.-Aug.	-250,783	688,061	938,844
Jan.-Aug.	-279,459	641,522	920,981
August	-29,451	83,092	112,542
August	-38,460	81,857	120,317

U.S. goods exports, imports and trade balance: Millions of dollars, on a balance of payments basis, seasonally adjusted

	Trade balance	Exports	Imports
Jan.-Dec. 2000	-452,423	771,994	1,224,417
Jan.-Dec. 2001	-427,165	718,762	1,145,927
Jan.-Aug. 2001	-290,842	495,679	786,521
Jan.-Aug. 2002	-310,201	454,165	764,366
August 2001	-34,458	58,939	93,396
August 2002	-42,274	57,984	100,258

U.S. services exports, imports and trade balance: Millions of dollars, on a balance of payments basis, seasonally adjusted

	Trade balance	Exports	Imports
Jan.-Dec. 2000	73,742	292,245	218,503
Jan.-Dec. 2001	68,875	279,260	210,385
Jan.-Aug. 2001	40,059	192,382	152,323
Jan.-Aug. 2002	30,742	187,357	156,615
August 2001	5,007	24,153	19,146
August2002	3,814	23,873	20,059

U.S. goods exports, imports and trade balance, by country: Millions of dollars, on a Census basis, not seasonally adjusted

	Bilateral balance	August exports	August imports
Total	-42,816	59,199	102,015
North America	-7,632	22,283	29,915
Canada	-4,150	13,876	18,026
Mexico	-3,482	8,407	11,889
Western Europe	-7,031	12,661	19,692
Euro Area	-5,364	8,455	13,819
European Union	-6,223	11,741	17,964
Austria	-205	126	330
Belgium	521	1,139	617
Finland	-152	122	274
France	-916	1,292	2,208
Germany	-2,861	2,144	5,005
Italy	-1,344	823	2,168
Netherlands	741	1,510	769
Spain	-81	391	473
Sweden	-261	261	522
United Kingdom	-482	2,909	3,391
Other EU	-1,184	2,208	2,208
European Free Trade Association	-664	683	1,348
Norway	-458	134	593
Switzerland	-188	538	727
Other EFTA	-18	11	28
Other Western Eur.	-143	237	380
Eastern Europe, Former Soviet Reps.	-816	532	1,348
Hungary	-121	55	176
Poland	-47	53	100
Former Sov. Reps.	-509	326	836
Russia	-461	224	686
Other FSR	-48	102	150
Other Eastern Europe	-139	97	236
Pacific Rim	-20,254	15,794	36,047
Australia	455	1,029	574
China	10,856	1,826	12,682
Japan	-5,269	4,770	10,038
Newly Industrialized Countries	-1,845	6,192	8,037
Hong Kong	242	1,109	867
South Korea	-980	1,904	2,884
Singapore	201	1,585	1,384
Taiwan	-1,308	1,594	2,902
Other Pacific Rim	-2,739	1,977	4,716
South/Central Am.	2,048	4,392	6,440
Argentina	-115	131	246
Brazil	-397	1,528
Colombia	-204	271	475
Other S/C America	-1,333	2,860	4,192
OPEC	-3,676	1,472	5,148
Indonesia	-704	262	966
Nigeria	-611	92	703
Saudi Arabia	-805	4051,211
Venezuela	-1,266	327	1,593
Other OPEC	-290	385	675
Other countries	-3,345	2,638	5,983
Egypt	260	342	82
South Africa	-48	271	320
Other	-3,556	2,025	5,581

NOTE: Data on a Census basis reflect movement of goods into and out of the United States through U.S. Customs Service stations. Balance-of-payments basis data adjust Census data to include products that bypass Customs, such as exports of military aircraft and imports of electricity from Canada.