Washington, March 12 (IANS) The United States recorded a $2.8 billion goods trade deficit with India in January, even as the overall US trade gap narrowed sharply, driven by stronger exports and slightly lower imports, according to data released on Thursday by the US Census Bureau and the Bureau of Economic Analysis (BEA).
The overall goods and services trade deficit fell to $54.5 billion in January, down from a revised $72.9 billion in December. The $18.4 billion decline marked a drop of about 25 per cent in a single month.
Exports rose to $302.1 billion, an increase of $15.8 billion from December, while imports fell to $356.6 billion, down $2.6 billion. The improvement was driven largely by changes in the balance of goods and services trade.
In its monthly report, the US Bureau of Economic Analysis said the US trade deficit with India stood at $2.8 billion in January.
The goods deficit declined by $17.5 billion to $81.8 billion, while the services surplus increased by $1.0 billion to $27.3 billion, according to the report.
Exports of goods rose strongly during the month, increasing by $14.6 billion to $195.5 billion.
The rise was led by industrial supplies and materials, which increased by $9.4 billion. Shipments of non-monetary gold increased by $4.7 billion, while exports of other precious metals rose by $4.1 billion, the report said.
Exports of capital goods also climbed, increasing by $5.4 billion, reflecting higher exports of computers, civilian aircraft and computer accessories.
However, some categories moved in the opposite direction. Exports of consumer goods declined by $2.8 billion, including a drop of $2.1 billion in pharmaceutical preparations.
Exports of services rose modestly during the month, increasing by $1.2 billion to $106.7 billion.
The increase was driven by growth in other business services, financial services and charges for the use of intellectual property, while travel services exports declined slightly.
On the import side, goods imports declined by $2.8 billion to $277.3 billion.
The drop reflected lower imports of consumer goods, which fell by $3.3 billion, with pharmaceutical preparations accounting for most of that decline.
Imports of automotive vehicles, parts and engines fell by $2.8 billion, including lower imports of trucks, buses, special-purpose vehicles and passenger cars.
Imports of industrial supplies and materials declined by $1.4 billion, including a reduction in imports of non-monetary gold.
However, imports of capital goods increased by $3.4 billion, driven by higher imports of computers, which rose by $3.9 billion, and telecommunications equipment, which increased by $1.3 billion.
Trade balances varied widely across major partners.
The United States recorded goods trade surpluses with the United Kingdom, the Netherlands, South and Central America, Switzerland, Hong Kong, Saudi Arabia, Brazil, Singapore, Australia and Belgium.
At the same time, the country ran large goods deficits with several Asian manufacturing economies.
The deficit with Vietnam stood at $19.0 billion in January, followed by Taiwan at $17.3 billion, Mexico at $12.8 billion, and China at $12.5 billion. The United States also recorded a $6.1 billion goods deficit with the European Union during the month.
–IANS
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