According to the latest International trade update released by the Bureau of Economic Analysis exports totaled $211.07 billion in the month of July, $2.1 billion dollars less than in June or a 1% decrease. Meanwhile Imports reached a total of $261.16 billion, an increase of $2.23 billion or 0.86% when compared to the month of June.
The trade deficit grew 9.63% from last month reaching $50.1 billion dollars in July, a $4.3 billion increase from June. According to the Bureau the negative trend in U.S. sales to the rest of the world, is due to a decrease in the exports of capital goods such as civilian aircrafts which saw a decrease of $1.6 billion and foods, feeds and beverages particularly the soybean which saw a decrease of $0.7 billion.
The decrease in exports of the soybean seems like a direct symptoms from the tariffs imposed on July with more tariffs on the way we can only expected to see more of this behavior on the future.
Exports had been growing up until their peak in May and then have started to fall for the past two months. Despite the deficit, both imports and exports have increased when compared to July of 2017. Exports have increased by $15.92 billion or $8.16% while Imports have increased $21.78 billion or 9.09%.