U.S. Merchandise-Trade Deficit Narrows on Rise in Exports

The U.S. goods trade deficit narrowed to $82.4 billion in April, driven by a 4% jump in exports, especially capital goods, consumer goods, and energy products. U.S. shipments of crude oil and fuels hit record levels, with domestic producers filling gaps caused by Middle East disruptions and reduced oil flows through the Strait of Hormuz.

Imports rose modestly, but firms are stockpiling inventory and increasing equipment imports as a hedge against geopolitical risk and lingering tariff uncertainty. The shortfall in goods trade shrank 3.4% from the prior month, with the median estimate in a Bloomberg survey of economists being a $87 billion deficit.

U.S. exports of goods increased 4%, including capital goods, consumer merchandise, and industrial supplies such as crude oil and petroleum products. The advance international trade deficit in goods decreased to $82.4 billion in April from $85.3 billion in March as exports increased more than imports.

The U.S. exported a record volume of more than 6.4 million barrels a day in April, while shipments of fuels including gasoline, diesel, and jet also surged.