*EPF304 02/21/01
U.S. Trade Deficit Hits Record in 2000, Despite Year-end Decline
(Trade gap narrowed in December) (800)
By Warner Rose
Washington File Staff Writer

Washington -- The U.S. trade deficit -- the gap between U.S. exports and imports of goods and services -- rose to an all-time high in 2000, although the growth of the imbalance began to narrow slightly in the last three months of the year.

The U.S. trade deficit reached $369,689 million in 2000, more than $100,000 million higher than the deficit in 1999, which had been the previous record, according to Commerce Department figures released February 21.

In December 2000, the monthly deficit was $32,994 million, the third monthly decline, from the year's peak in September of $33,808 million. In December both exports and imports decreased.

In 2000, overall exports and imports increased to record levels. Exports totaled $1,068,397 million, about $112,000 million more than the year before. Imports reached $1,222,772 million.

Following an established pattern, the U.S. trade deficit in 2000 was in goods, while in services there was a surplus. Last year the United States imported $449,468 million more in goods than it exported, while posting a surplus of $79,779 million in services transactions.

The largest bilateral U.S. deficit in goods was with China, which reached $83,810 million, edging out Japan. The U.S. goods deficit with Japan was $81,322 million. The next highest deficits were with Canada, $50,423 million, Germany, $29,493 million, and Mexico, $24,190 million.

The trade deficit with the Organization of Petroleum Exporting Countries (OPEC) more than doubled in 2000, reaching $47,793 million, reflecting the high oil prices throughout much of last year.

During 2000, the biggest categories for increased goods imports were in industrial supplies and materials (primarily crude petroleum), capital goods and consumer goods. According to the Commerce Department, the largest increases in exports were seen in capital goods (mainly semiconductors and computer accessories), industrial supplies and materials, and consumer goods.

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. 1999 -264,971 956,242 1,221,213
Jan.-Dec. 2000 -369,689 1,068,397 1,438,086

Dec. 1999 -25,657 84,107 109,764
Dec. 2000 -32,994 89,820 122,814

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. 1999 -345,559 684,358 1,029,917
Jan.-Dec. 2000 -449,468 773,304 1,222,772

Dec. 1999 -32,255 61,211 93,466
Dec. 2000 -39,176 64,925 104,101

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. 1999 80,588 271,884 191,296
Jan.-Dec. 2000 79,779 295,093 215,314

Dec. 1999 6,598 22,896 16,298
Dec. 2000 6,182 24,895 18,713

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

Bilateral December December
balance exports imports

Total -32,871 66,230 99,101

North America -6,906 22,216 29,122
Canada -5,733 13,265 18,999
Mexico -1,173 8,951 10,124

Western Europe -3,637 16,697 20,334
European Union -3,335 15,329 18,664
Austria -93 176 268
Belgium 305 1,176 871
Finland -100 156 255
France -659 2,119 2,777
Germany -2,266 2,644 4,911
Italy -1,076 965 2,042
Netherlands 1,216 1,978 762
Spain 63 548 485
Sweden -507 384 891
United Kingdom 449 4,017 3,569
Other EU -666 1,166 1,832
European Free Trade
Association -350 995 1,345
Norway -294 112 405
Switzerland -25 870 895
Other EFTA -31 14 45
Other Western Eur. 47 373 325

Eastern Europe, Former
Soviet Reps. -627 605 1,232
Hungary -224 44 269
Poland -1 75 76
Former Sov. Reps. -348 361 709
Russia -321 189 510
Other FSR -27 172 199
Other Eastern Europe -53 125 178

Pacific Rim -16,035 17,707 33,742
Australia 555 1,038 583
China -6,060 1,588 7,648
Japan -6,060 5,975 12,036
Newly Industrialized
Countries -1,943 7,064 9,007
Hong Kong 628 1,433 806
South Korea -1,277 2,169 3,446
Singapore -46 1,547 1,592
Taiwan -1,248 1,915 3,164
Other Pacific Rim -2,427 2,042 4,468

South/Central America -843 5,240 6,084
Argentina 130 387 257
Brazil 292 1,429 1,137
Colombia -223 332 555
Other S/C America -1,042 3,093 4,135

OPEC -4,253 1,593 5,845
Indonesia -685 190 876
Nigeria -743 60 803
Saudi Arabia -853 425 1,278
Venezuela -1,005 594 1,599
Other OPEC -965 325 1,290

Other countries -2,279 2,937 5,216
Egypt 168 258 90
South Africa -59 251 311
Other -2,388 2,427 4,815

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.

(The Washington File is a product of the Office of International Information Programs, U.S. Department of State. Website: http://usinfo.state.gov)
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