‘Worsening’ Trade Could Adversely Affect US GDP as Deficit Jumps to Highest Level in Six Months

Shipping containers are unloaded from a ship at a container terminal at the Port of Long Beach–Port of Los Angeles complex in Los Angeles, Calif., on April 7, 2021. Lucy Nicholson/Reuters

The U.S. trade deficit rose in April to widen to a six-month high, potentially affecting second-quarter GDP growth.

The trade deficit for April 2023 rose by $14 billion, to $74.6 billion, according to a June 7 news release from the Bureau of Economic Analysis (BEA). This is 23 percent rise from March’s $60.6 billion deficit and is the biggest monthly jump since 2015—pushing the trade deficit to a six-month high level. Exports for April were at $249 billion, down $9.2 billion from March. Meanwhile, imports registered a $4.8 billion growth, to $323.6 billion. Some experts believe the widening trade gap could end up negatively affecting GDP growth during the quarter.