U.S. Goods Trade Deficit Widens 17% to $118.8 Billion

The U.S. goods trade deficit widened sharply in July as imports surged and exports declined.
The deficit increased by $17.4 billion, or 17%, to $118.8 billion, marking the largest gap since March 2025.
Goods imports rose 4% to $318.2 billion, their highest level since March.
Capital goods imports, including computers, semiconductors and telecommunications equipment, jumped 11% — the largest monthly increase since 1993.
At the same time, U.S. goods exports fell 3% to $199.4 billion, their lowest level since January.
The decline was driven partly by an 11% drop in exports of industrial goods.
Excluding the four-month period from December 2024 through March 2025, when companies accelerated imports ahead of anticipated tariff increases, July’s goods trade deficit was the largest on record.
The latest data suggests the U.S. trade gap is widening again as import demand strengthens while exports lose momentum.