The US trade deficit grew sharply in March, registering the largest month-to-month gain in at least nine years, as record demand for imported consumer goods overpowered lower oil prices, the US Commerce Department said today.
The trade deficit rose 16 per cent to $31.2 billion in March. Much of the rise in the deficit reflected higher imports, which rose to $120.6 billion in March from $117.2 billion in February, while exports dipped.
Imports of consumer goods like toys, clothing and electronics jumped $2.8 billion from February to a record $25.3 billion.
The price of imported crude oil dropped by $1 per barrel from February to $22.76 in March, the lowest since November 1999, when imported oil cost $21.05 per barrel.
The gap with Japan widened to $6.23 billion in March from $6.13 billion a month earlier. The trade deficit with Europe swelled to $4.66 billion in March from $3.33 billion in February.