Washington: The US foreign trade deficit in August was reported at $59.6 billion, falling short of market expectations which had anticipated a deficit of $61.3 billion. This figure marks a significant decrease from July's trade gap of $78.2 billion, as revealed by official data released on Wednesday.

According to Anadolu Agency, data from the Bureau of Economic Analysis illustrated that the decrease in the trade deficit was attributed to both a reduction in the goods deficit and an increase in the services surplus. Specifically, the goods deficit shrank by $18.1 billion to $85.6 billion, while the services surplus rose by $0.5 billion to reach $26.1 billion.

In terms of trade figures, US exports in August amounted to $280.8 billion, showing a slight increase of 0.1%. Conversely, imports saw a more substantial drop of 5.1%, totaling $340.4 billion. The trade deficit with Canada, a prominent trading partner, notably decreased by $2.4 billion from the previous month, landing at $3 billion.

The report also provided details on the US trade deficit with other countries: Mexico ($16.3 billion), China ($15.4 billion), Vietnam ($14.4 billion), Taiwan ($12.2 billion), the EU ($8.1 billion), Japan ($5.7 billion), South Korea ($5 billion), India ($4.8 billion), Germany ($4.6 billion), Ireland ($3 billion), Malaysia ($1.8 billion), Italy ($1.6 billion), France ($1.2 billion), Israel ($400 million), and Switzerland ($100 million).

Conversely, the US recorded trade surpluses with the Netherlands ($5.1 billion), South and Central America ($4.9 billion), Hong Kong ($1.7 billion), Australia ($1.6 billion), Brazil ($1.2 billion), Singapore ($900 million), the UK ($800 million), Belgium ($500 million), and Saudi Arabia ($300 million).

The trade data follows the tariff policies implemented by President Donald Trump, which included widespread tariffs on numerous countries and specific tariffs on goods such as copper, aluminum, and auto parts. Additionally, President Trump has negotiated trade agreements with several countries, including the UK, Vietnam, Indonesia, the Philippines, Japan, South Korea, and the EU, as part of efforts to address the US trade deficit.