U.S. Trade Deficit Grew in May

By Jessica Coacci

The U.S. trade deficit widened in May, according to data published by the Commerce Department Tuesday.

U.S. imports totaled $395.3 billion in May, up 3.3% from April, while exports were $317.7 billion, 3.2% lower than in April.

That yielded a trade deficit of $77.6 billion versus $54.6 billion in April. Analysts polled by The Wall Street Journal were expecting a $78 billion monthly deficit.

The conflict in Iran likely contributed to an increase of U.S. oil shipments overseas. Exports in crude oil rose by $2 billion. Meanwhile, as the build out of data centers tied to the uptick in artificial intelligence continues, imports of semiconductors increased by $1 billion. Other imports were seen in automotive vehicles, parts, and engines, which increased $2.2 billion.

Frequently changing tariff policies that began last year has caused volatile movements in U.S. trade flows. In February, the Supreme Court overruled Trump's use of the International Emergency Economic Powers Act to enact broad global tariffs, but has turned to other authorities as he continues to attempt to limit American imports.

Last week, the U.S. declined to extend its signature trade pact with Mexico and Canada, which set up a decade-long review process that could cast broader uncertainty over businesses with supply chains across North America.

Write to Jessica Coacci at jessica.coacci@wsj.com

(END) Dow Jones Newswires

July 07, 2026 09:11 ET (13:11 GMT)