Deficit up US$859.1 billion for 2021

The United States Census Bureau and the United States Bureau of Economic Analysis have both assessed that the December 2021 goods and services deficit was US$80.7 billion, up US$1.4 billion from the revised US$79.3 billion in November.

December exports totaled US$228.1 billion, an increase of US$3.4 billion above November exports. December imports totaled US$308.9 billion, up US$4.8 billion from November. 

The December rise in the goods and services deficits reflected an increase of US$3.2 billion in the goods deficit to US$101.4 billion and an increase of US$1.8 billion in the services surplus to US$20.7 billion.

The goods and services deficit in 2021 climbed by $182.4 billion, or 27.0 per cent, over 2020 levels.

Exports

December’s goods exports climbed by US$2.0 billion to US$158.3 billion. Exports of goods grew by US$2.2 billion on a Census basis. Consumption of consumer goods grew by US$1.2 billion. 

Capital goods expenditures climbed by US$0.9 billion. Vehicles, components, and engines for automobiles grew by US$0.8 billion. Industrial materials and supplies increased by US$0.5 billion. 

Foods, feeds, and drinks had a US$1.1-billion decline. Moreover, balance of payments adjustments on a net basis declined by US$0.2 billion.

Whereas in December, exports of services climbed by US$1.4 billion to US$69.9 billion. Transportation expenditures climbed by US$0.6 billion and travel expenditures climbed by US$0.5 billion.

Imports

Imports of goods climbed by US$5.2 billion in December to US$259.7 billion. Imports of goods grew by US$5.3 billion on a Census-based basis. Consumer goods had a US$5.2 billion gain. 

Vehicles, parts, and engines for automobiles climbed by US$2.4 billion. Capital goods expenditures climbed by US$2.3 billion. There was a US$3.2 billion reduction in industrial supply and materials.

Furthermore, balance of payments adjustments on a net basis declined by US$0.2 billion. In December, service imports declined by US$0.4 billion to US$49.2 billion. 

Travel expenditures declined by US$0.5 billion and transportation expenditures increased by US$0.1 billion.

Trade imbalance by Selected Countries and Areas

The December numbers indicate that the trade imbalance with South and Central America is (US$5.4 billion), Hong Kong (US$1.9 billion), Brazil (US$1.2 billion), Singapore (US$0.8 billion), and the United Kingdom (US$0.6 billion) all had surpluses.

China (US$34.1 billion), the European Union (US$16.3 billion), Mexico (US$11.0 billion), Germany (US$5.3 billion), Japan (US$5.0 billion), Canada (US$4.2 billion), India (US$3.9 billion), Taiwan (US$3.8 billion), South Korea (US$3.7 billion), Italy (US$3.1 billion), France (US$0.8 billion ), and Saudi Arabia (US$0.7 billion).

In December, the trade imbalance with China grew by US$6.0 billion to US$34.1 billion. Exports declined by US$2.2 billion dollars to US$11.8 billion, while imports grew by US$3.8 billion dollars to US$45.9 billion.

In December, the trade imbalance with South Korea grew by US$1.4 billion to US$3.7 billion. Exports fell US$0.9 billion to US$4.8 billion, while imports gained 0.5 per cent to US$8.5 billion.

The United States’ trade deficit with the European Union dropped by US$3 billion to $16.3 billion in December 2021. Exports rose US$0.7 billion to US$25.1 billion, while imports fell US$2.4 billion to US$41.4 billion.

Annual Report for the Year 2021

The goods and services deficit for 2021 was US$859.1 billion, an increase of US$182.4 billion from US$676.7 billion in 2020. Exports totaled US$2.52 trillion, an increase of $394.1 billion over 2020.

Imports totaled US$3.38 trillion, an increase of US$576.5 billion over 2020. The rise in the goods and services deficits in 2021 included an increase of US$168.7 billion, or 18.3 per cent, in the goods deficit to US$1.09 trillion and a drop of US$13.8 billion, or 5.6 per cent, in the services surplus to US$231.5 billion.

In 2021, the goods and services deficit increased to 3.7 per cent of current-dollar GDP, up from 3.2 per cent in 2020