US Trade Deficit Declines in November, Trade War in Focus

Arslan Butt•Wednesday, January 8, 2020•1 min read

The prolonged trade war with China has caused the US trade deficit to tumble to an over three-year low during November 2019 over a continued decline in imports. On the positive side, however, exports witnessed a growth, pointing to a strong performance for the US economy in Q4 2019.

According to data released by the US Commerce Department, the trade deficit rose by 8.2% to $43.1 billion in November, the lowest level seen since October 2016. Economists were expecting the trade deficit to touch $43.8 billion during this period. Meanwhile, the trade gap narrowed to 0.7% and continues towards the first yearly decline in this figure in six years.

The US-China trade war which has dragged on for around 18 months has caused US’s goods trade deficit with China to fall 15.7% to $26.4 billion during November. Imports from China declined 9.2% while US goods’ exports to China increased by 13.7%.

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ABOUT THE AUTHOR See More

Arslan Butt

Index & Commodity Analyst

Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.