The US trade deficit shrank 18.8 per cent to $26.9 billion in February over January as imports in a sluggish economy fell to a record low, the Commerce Department reported today.
The goods and services shortfall, which came to $33.3 billion in January, had been predicted by Wall Street analysts to narrow to $32.9 billion. The February deficit was the lowest in 14 months.
Imports fell 4.4 per cent to $117.45 billion in February - their lowest level since the government began calculating trade in goods and services in 1992. Exports edged up 1 percent to $90.46 billion.
The deficit with Japan fell to $6.13 billion in February from $6.73 billion a year earlier. The shortfall with Japan came to $5.87 billion in January.
With China, the deficit shrank to $5.07 billion in February from $5.62 billion in the same month one year ago and $7.23 billion in January.
The decline in imports in February was widespread and led by weaker purchases of capital goods, consumer goods and industrial supplies, the Commerce Department said.
AFP