Trade Indicator
U.S. Trade Balance (Goods & Services)
Updated 2026-03-06 · Monthly · Source: Bureau of Economic Analysis · Next release: 2026-04-03
Historical Trend
| Date | Value |
|---|---|
| 2026-03 | -122.7B |
| 2026-02 | -122.7B |
| 2026-01 | -130.7B |
| 2025-12 | -98.4B |
| 2025-11 | -78.2B |
| 2025-10 | -73.8B |
| 2025-09 | -84.4B |
| 2025-08 | -70.4B |
| 2025-07 | -73.1B |
What This Means for Business
The trade deficit narrowed slightly to $122.7 billion from January's $130.7 billion. The historically large deficit has been inflated by front-loading of imports ahead of tariff increases. For executives in import-dependent industries, trade policy remains the dominant risk factor. Companies are accelerating supply chain diversification away from China toward Mexico, Vietnam, and India.
About Trade Balance
The trade balance measures the difference between U.S. exports and imports of goods and services. A deficit means the U.S. imports more than it exports. The trade balance is a component of GDP and reflects the competitiveness of U.S. producers in global markets.
Methodology
The Census Bureau collects export and import data from customs declarations and surveys. Goods trade data comes from actual shipment records; services trade (financial, consulting, IP) comes from surveys. Data is seasonally adjusted. The 'goods only' deficit is much larger than the combined figure because the U.S. runs a large services surplus.
Related Indicators
Frequently Asked Questions
Is a trade deficit bad for the economy?
Not necessarily. A trade deficit means the U.S. consumes more than it produces, which could reflect strong consumer demand, a strong dollar (making imports cheaper), or structural factors like the U.S. being a consumption-driven economy. However, large persistent deficits mean domestic producers face foreign competition and manufacturing jobs may move overseas.
How do tariffs affect the trade balance?
Tariffs raise the cost of imports, which may reduce import volumes over time. However, in the short term, tariffs often widen the trade deficit as companies rush to import goods before tariffs take effect (front-loading). Trading partners may also retaliate with their own tariffs, reducing U.S. exports. The net effect on the trade balance is often smaller than expected.