The American foreign trade deficit expanded to a historical record in March, according to the U.S. Customs Service. In March of the current year, the trade deficit of goods and services increased by 5.6 percent to $74.4 billion.
Economists projected that the deficit would reach a peak of $74.5 billion. The high level of the deficit is associated with a 6.8 percent increase in imports, which surpassed the growth in exports at 6.6 percent.
The COVID-19 pandemic created a significant spike in foreign goods, at the same time as the U.S. economy began to rebound after the crisis. In addition, rising oil prices also affected the deficit, increasing expenditure on energy resources.
Ariana Mueller, a senior economist at Compass Point Research & Trading, noted: "This rise in the foreign trade deficit indicates that Americans are once again returning to consumption, while neighboring countries around the world are intensifying their export activities."
