US trade deficit widens as imports jump before tariff deadline

(Sharecast News) - America's trade deficit widened much more than expected in July to its highest in four months, as purchasing managers shipped products into the country to get ahead of the tariff deadline. The goods trade balance was -$103.6bn last month, some 22.1% bigger than the previous month's $84.9bn, the Commerce Department reported.

This was much wider than the consensus estimate for a trade deficit of $87.4bn.

Exports fell $0.1bn (0.1%) over the month to $178.0bn, while imports surged $18.6bn (+7.1%) to $281.5bn.

The influx of shipments entering the country came ahead of the 1 August deadline for Donald Trump's so-called reciprocal tariffs on dozens of trade partners, which was extended from the initial deadline of 9 July.