US trade deficit widens 13.7% to $105.6 billion in August as imports hit record

Mixed · 2The US international trade deficit reached $105.6 billion in August, up 13.7% from the previous month, according to official figures released Tuesday by the Census Bureau and the Bureau of Economic Analysis. 1 2 Centre · 1The deficit rose by $12.7 billion from July's revised figure of $92.8 billion. 1 Mixed · 2Imports rose 4.3%, or $17.2 billion, to $420.8 billion, while exports rose 1.4%, or $4.5 billion, to $315.2 billion. 1 2

Centre · 1The goods deficit increased by $12.8 billion to $136.6 billion, while the services surplus grew slightly to $31 billion. 1 Left · 1Raw Story, citing the New York Times, described it as the widest monthly gap in 17 months and the biggest since before Trump's sweeping global tariffs began in April 2025. It said the increase was led by petroleum, gold and the advanced computer chips used for artificial intelligence. 2 Centre · 1For the first eight months of the year, the deficit was down $138.2 billion, or 19.9%, from the same period in 2025, with exports up 11.8% and imports up 4.4%. 1

Centre · 1The largest goods deficits were with Mexico ($27.7 billion), Vietnam ($24 billion) and Taiwan ($18.3 billion). 1 Left · 1Raw Story said Trump has used tariffs to try to shrink the deficit, that the Supreme Court struck down most of the original tariffs in February, that the administration partly restored them under other authorities and imposed new tariffs on more than 80 countries in July, and that another round affecting more than 40 countries is being prepared. 2 Left · 1Raw Story also said the AI data-centre building boom is fuelling chip imports, and that many economists doubt tariffs can fix the deficit, arguing it is shaped by growth and federal debt. 2