US trade deficit widens to $71.2 billion in May
The US Commerce Department said on Friday that the trade deficit widened 3.1 percent in May from April’s revised trade deficit of $69.1 billion. Earlier in March, the US trade deficit had reached a record $ 75 billion.
US goods and services exports rose 0.6 percent to $206 billion in May. But imports also increased by 1.3 percent. Imports during this period increased to $277.3 billion.
The US had a total trade deficit of $353.1 billion in the first five months of this year. This marked a massive increase of 45.8 per cent over the same period last year. Then amid the outbreak of the epidemic, the demand for imported goods among Americans was reduced.
This year, America’s booming economy has fueled demand for imports while the rest of the world is recovering more slowly. This has reduced the demand for US exports.
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