Authored by Mike Shedlock via mishtalk,
Let’s compare Trump’s claim to actual trade numbers.
Key Trade Deficit Points
- Last year, the goods trade deficit $1.205 trillion.
- Through November, the trade deficit is $1.134 trillion.
- There will be no significant change in the trade deficit in 2025 vs 2024. There may even be a small increase in the deficit.
The US runs a surplus in services so the overall net trade deficit is better.
US Balance of Trade – Goods Only 10 Select Countries Plus EU
Change November 2025 vs Full Year 2024
- China: +107 Billion
- EU: +31 Billion
- Mexico: -12 Billion
- Vietnam: -38 Billion
- Ireland: -25 Billion
- Taiwan: -53 billion
- South Korea: +16 Billion
- Canada: +15 Billion
The improvement in the deficit with China (+107 billion) is nearly wiped out by Mexico, Vietnam, and Taiwan (-103 billion).
Much of the tariff improvement with China is masked through imports from Mexico, Vietnam, and South Korea.
US Balance of Trade – Goods Only 10 Select Countries Plus EU Totals
Despite the above, Trump is pleased to report a 78 Percent Reduction in the Trade Deficit.
“Thank you for your attention to this matter — SAVE AMERICA!”
Noted.
Meanwhile, the Tariff TACOs continue.
Trump to Roll Back Some Steel and Aluminum Tariffs Due to Inflation
In the latest TACO Trump to Roll Back Some Steel and Aluminum Tariffs Due to Inflation
The Financial Times discusses tariff rollbacks.
In a smarter world, these tariffs would not have been initiated in the first place, or would be fully rolled back right now.