Goods and Services

The U.S. Census Bureau and the U.S. Bureau of Economic Analysis, through the Department of Commerce, announced today that total December exports of $125.5 billion and imports of $186.7 billion resulted in a goods and services deficit of $61.2 billion, $3.1 billion more than the $58.1 billion in November, revised. December exports were $0.7 billion more than November exports of $124.8 billion. December imports were $3.8 billion more than November imports of $182.9 billion.

In December, the goods deficit increased $3.4 billion from November to $68.2 billion, and the services surplus increased $0.3 billion to $7.0 billion. Exports of goods increased $0.4 billion to $89.4 billion, and imports of goods increased $3.8 billion to $157.6 billion. Exports of services increased $0.3 billion to $36.1 billion, and imports of services were virtually unchanged at $29.1 billion. In December, the goods and services deficit was down $3.0 billion from December 2005. Exports were up $13.0 billion, or 11.5 percent, and imports were up $10.0 billion, or 5.6 percent.

Goods

The November to December change in exports of goods reflected increases in automotive vehicles, parts, and engines ($0.5 billion); foods, feeds, and beverages ($0.3 billion); and consumer goods ($0.1 billion). Decreases occurred in other goods ($0.3 billion); industrial supplies and materials ($0.2 billion); and capital goods ($0.1 billion).The November to December change in imports of goods reflected increases in industrial supplies and materials ($1.6 billion); automotive vehicles, parts, and engines ($1.5 billion); consumer goods ($0.8 billion); foods, feeds, and beverages ($0.1 billion); and other goods ($0.1 billion). A decrease occurred in capital goods ($0.3 billion).

The December 2005 to December 2006 change in exports of goods reflected increases in capital goods ($3.5 billion); industrial supplies and materials ($3.5 billion); consumer goods ($1.0 billion); other goods ($0.9 billion); foods, feeds,and beverages ($0.8 billion); and automotive vehicles, parts, and engines ($0.6 billion). The December 2005 to December 2006 change in imports of goods reflected increases in consumer goods ($4.7 billion); capital goods ($2.5 billion); automotive vehicles, parts, and engines ($1.5 billion); other goods ($0.6 billion); and foods, feeds, and beverages ($0.5 billion). A decrease occurred in industrial supplies and materials ($1.8 billion).

Services

Services exports increased $0.3 billion from November to December. The increase was mostly accounted for by increases in other private services (which includes items such as business, professional, and technical services, insurance services, and financial services) and transfers under U.S. military sales contracts. Changes in other categories of services exports were small. Services imports were virtually unchanged from November to December.

A decrease in other transportation (which includes freight and port services) was mostly offset by an increase in other private services. Changes in other categories of services imports were small. From December 2005 to December 2006, services exports increased $3.0 billion. The largest increases were in other private services ($1.8 billion) and travel ($0.6 billion). From December 2005 to December 2006, services imports increased $2.0 billion. The largest increases were in other private services ($1.4 billion) and travel ($0.4 billion).

Goods and Services Moving Average

For the three months ending in December, exports of goods and services averaged $124.6 billion, while imports of goods and services averaged $184.0 billion, resulting in an average trade deficit of $59.4 billion. For the three months ending in November, the average trade deficit was $60.5 billion, reflecting average exports of $123.8 billion and average imports of $184.2 billion.

Revisions

Goods carry-over in December was $0.2 billion (0.3 percent) for exports and $1.2 billion (0.8 percent) for imports. For November, revised export carry-over was virtually zero, revised down from $0.3 billion (0.3 percent). For November, revised import carry-over was $0.1 billion (0.1 percent), revised down from $1.0 billion (0.7 percent). The seasonally adjusted goods data for January through November were also revised to align the seasonally adjusted months with the annual totals. Services exports for November were revised up $0.1 billion to $35.8 billion; the revision was mostly accounted for by an upward revision in other transportation. Services imports for November were revised down $0.1 billion to $29.1 billion; the revision was mostly accounted for by downward revisions in travel and passenger fares, which were partly offset by an upward revision in other transportation.

Goods and Services

For 2006, exports of $1,437.8 billion and imports of $2,201.4 billion resulted in a goods and services deficit of $763.6 billion, $46.9 billion more than the 2005 deficit of $716.7 billion. For goods, exports were $1,023.7 billion and imports were $1,859.8 billion, resulting in a goods deficit of $836.1 billion, $53.3 billion more than the 2005 deficit of $782.7 billion. For services, exports were $414.1 billion and imports were $341.6 billion, resulting in a services surplus of $72.5 billion, $6.5 billion more than the 2005 surplus of $66.0 billion. The goods and services deficit in 2006 was a record $763.6 billion. As a percentage of U.S. gross domestic product, the goods and services deficit was virtually unchanged from 2005 at 5.8 percent.

Goods

For 2006, on a Census basis, exports of goods were up $131.3 billion from 2005. Increases occurred in capital goods ($51.4 billion); industrial supplies and materials ($42.7 billion); consumer goods ($13.5 billion); automotive vehicles, parts, and engines ($8.6 billion); other goods ($8.2 billion); and foods, feeds, and beverages ($6.9 billion). For 2006, on a Census basis, imports of goods were up $182.0 billion from 2005. Increases occurred in industrial supplies and materials ($79.1 billion); capital goods ($39.3 billion); consumer goods ($35.7 billion); automotive vehicles, parts, and engines ($17.1 billion); foods, feeds, and beverages ($6.8 billion); and other goods ($3.9 billion).

Services

For 2006, exports of services were $414.1 billion, up $33.5 billion from 2005. Increases occurred in other private services, which includes items such as business, professional, and technical services, insurance services, and financial services ($20.2 billion); other transportation, which includes freight and port services ($5.9 billion); royalties and license fees ($4.5 billion); travel ($4.1 billion); passenger fares ($0.7 billion), and U.S. Government miscellaneous services ($0.1 billion). A decrease occurred in transfers under U.S. military sales contracts ($2.0 billion).