U.S. Trade Deficit Widens Again in August

By Dean Seal

The U.S. trade deficit widened more sharply than expected in August, according to data published by the Commerce Department.

U.S. imports were higher than exports by $105.6 billion. Analysts polled by The Wall Street Journal were expecting a $102 billion deficit. July's trade deficit was revised to $92.8 billion.

The gap is the result of imports increasing 4.3% in August from the previous month, to $420.8 billion, while exports increased 1.4% to $315.2 billion.

Imports of goods increased $17.2 billion in August, while exports of goods increased $4.4 billion. Exports of crude oil increased $2 billion.

The trade deficit has been driven up this year by a flood of semiconductor and other component imports for the tech industry's artificial intelligence buildout, rising energy costs and the Trump administration's mercurial tariff campaign.

The swirl of levies have strained international commerce. The U.S. is currently locked in a trade war with Canada, which imposed retaliatory tariffs that took effect last month on about $20 billion worth of U.S. goods.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

October 06, 2026 09:03 ET (13:03 GMT)