U.S. TRADE DEFICIT DECREASES 11.6 PERCENT IN NOVEMBER

[USIA]

USIS Washington File

21 January 1998

U.S. TRADE DEFICIT DECREASES 11.6 PERCENT IN NOVEMBER

(Crude oil imports down sharply) (890)
By Bruce Odessey
USIA Staff Writer

Washington -- The U.S. trade deficit dropped 11.6 percent in November
as oil imports dropped sharply, the U.S. Department of Commerce
reports.

The November deficit came to $8,037 million, comprising a deficit in
merchandise goods of $15,098 million and a surplus in services of
$7,061 million -- all down from October -- the department said January
21. It was the smallest monthly deficit since March.

U.S. imports of crude oil dropped $968 million in November to $4,040
million, the lowest level in nearly two years. They came down in
volume -- 7.76 million barrels a day in November compared with 9.44
million in October -- as well as in price -- $17.13 per barrel in
November, $17.65 in October.

In November U.S. exports were down 1.3 percent and U.S. imports were
down 2.3 percent. The largest decreases in exports were in capital
goods, primarily semiconductors and computer accessories. The largest
decreases in imports were in crude oil and capital goods.

The goods trade deficit with Japan dropped 28.3 percent to $4,206
million, the lowest level since June. The deficit with China dropped
20.4 percent to $4,134 million, the lowest level since May, and with
Mexico dropped 39.6 percent to $1,543 million, the lowest level since
January 1995. But the deficit with Canada climbed 78 percent to $1,543
million.

Following are some key figures:

U.S. GOODS AND SERVICES EXPORTS, IMPORTS AND TRADE BALANCE
Millions of dollars, on a balance of payments basis, seasonally
adjusted

Trade
balance Exports Imports

Jan.-Dec. 1995 -101,857 794,610 896,467
Jan.-Dec. 1996 -111,040 848,833 959,873

Jan.-Nov. 1996 -100,439 776,396 876,834
Jan.-Nov. 1997 -102,098 853,270 955,369

November 1996 -7,665 73,969 81,634
November 1997 -8,037 79,197 87,234

U.S. GOODS EXPORTS, IMPORTS AND TRADE BALANCE
Millions of dollars, on a balance of payments basis, seasonally
adjusted

Trade
balance Exports Imports

Jan.-Dec. 1995 -173,560 575,871 749,431
Jan.-Dec. 1996 -191,170 612,069 803,239

Jan.-Nov. 1996 -173,475 559,936 733,410
Jan.-Nov. 1997 -180,443 620,610 801,054

November 1996 -15,176 53,209 68,385
November 1997 -15,098 57,781 72,879

U.S. SERVICES EXPORTS, IMPORTS AND TRADE BALANCE
Millions of dollars, on a balance of payments basis, seasonally
adjusted

Trade
balance Exports Imports

Jan.-Dec. 1995 71,703 218,739 147,036
Jan.-Dec. 1996 80,130 236,764 156,634

Jan.-Nov. 1996 73,036 216,460 143,424
Jan.-Nov. 1997 78,345 232,660 154,315

November 1996 7,511 20,760 13,249
November 1997 7,061 21,416 14,355

U.S. GOODS EXPORTS, IMPORTS AND TRADE BALANCE, BY COUNTRY
Millions of dollars, on a Census basis, not seasonally adjusted

Bilateral November November
balance exports imports

Total -13,227 58,408 71,635

North America -2,427 19,280 21,707
Canada -1,543 12,698 ÿ2014,241
Mexico -884 6,583 7,466

Western Europe -1,539 12,787 14,326
European Union -1,199 11,889 13,087
Austria -36 155 191
Belgium 554 1,202 648
Finland -34 180 213
France -258 1,403 1,661
Germany -1,672 2,036 3,708
Italy -883 768 1,652
Netherlands 1,127 1,682 556
Spain 112 507 396
Sweden -300 288 588
United Kingdom 301 2,883 2,582
Other EU -109 784 893

European Free Trade
Association -482 537 1,019
Norway -136 110 246
Switzerland -322 413 735
Other EFTA -24 14 38
Other Western Eur. 142 361 220

Eastern Europe, Former
Soviet Reps. 75 683 608
Hungary -45 47 92
Poland 33 83 50
Former Sov. Reps. 103 468 365
Russia 54 360 307
Other FSR 50 108 58
Other Eastern Europe -16 86 102

Pacific Rim -9,896 16,100 25,995
Australia 560 963 402
China -4,134 1,289 5,423
Japan -4,206 5,551 9,757
Newly Industrialized
Countries -789 6,269 7,058
Hong Kong 368 1,273 905
South Korea -43 1,829 1,872
Singapore -108 1,416 1,524
Taiwan -1,006 1,751 2,757
Other Pacific Rim -1,327 2,028 3,356

South/Central America 1,916 5,890 3,974
Argentina 462 622 160
Brazil 804 1,519 715
Colombia 106 436 330
Other S/C America 544 3,313 2,769

OPEC -1,438 2,144 3,582
Indonesia -334 424 758
Nigeria -309 56 365
Saudi Arabia -169 603 772
Venezuela -479 644 1,124
Other OPEC -147 417 564

Other countries -824 2,500 3,324
Egypt 187 238 51
South Africa -8 219 227
Other -1,003 2,044 3,046

NOTE: Data on a Census basis reflect movement of goods into and out of
the United States through U.S. Customs Service stations.
Balance-of-payments basis data adjust Census data to include products
that bypass Customs, such as exports of military aircraft and imports
of electricity from Canada.