WASHINGTON — The U.S. international trade gap narrowed to $49.0 billion in March from $57.7 billion in February, data released by the Commerce Department Thursday morning showed.
The decline was the largest drop in two years
Analysts had expected the overall gap to narrow to $49.8 billion, based on a significant improvement in the advance trade goods gap.
The census goods trade gap for March was revised slightly wider to $68.3 billion from the $68.0 billion gap previously reported that was used when calculating the advance reading for first quarter GDP, while the February gap was adjusted less than $0.1 billion narrower. As a result, the net export gap could be adjusted slightly wider in the second estimate for GDP.
Exports expanded to a record high $208.5 billion level on solid gains in capital goods ($1.9 billion, aircraft $1.9 billion) foods and feeds ($1.0 billion), industrial supplies ($900 million), and consumer goods ($100 million), offset by a autos ($600 million).
Imports declined, with decreases in capital goods ($1.5 billion), consumer goods ($900 million), industrial supplies ($700 million) and foods and feeds ($400 million). Auto imports ($200 million) posted a small gain.
The country data showed wider bilateral gaps with the EU, Mexico and Japan, but a smaller gap with China and a small surplus with Canada.
