Trade gap slips to $45.6 billion in August

AP News
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Posted: Oct 13, 2011 8:35 AM
Trade gap slips to $45.6 billion in August

The trade deficit edged down slightly in August although the imbalance for the year is running well above last year's pace. The trade gap with China hit an all-time high.

The Commerce Department says the deficit dipped to $45.61 billion in August, the lowest gap in four months. For the year, the deficit is running at an annual rate of $564.3 billion, 13 percent higher than last year. A higher deficit acts as a drag on economic growth because it means fewer jobs for American workers.

For August, exports slipped by $95 million to $177.6 billion, as sales of autos, aircraft engines and oilfield equipment all declined. Imports fell a larger $111 million to $223.2 billion, reflecting declines in imports of cars, clothing and aircraft.