World Business

US trade deficit rises to $42.3b in May

(Xinhua)
Updated: 2010-07-14 10:34

WASHINGTON - The US trade deficit in May increased by 4.8 percent to $42.3 billion, the highest level in 18 months, the Commerce Department reported Tuesday.

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The May deficit was the largest imbalance since November 2008, and higher than economists had been expecting.

In May, exports rose by 2.4 percent to $152.3 billion, while imports increased by 2.9 percent to $194.5 billion.

Economists say that the increase in both exports and imports reflects that the US economy was rebounding from the most serious recession since the Great Depression in 1930s.

Trade experts expect that trade deficit to rise this year but hope that expanding exports will continue to boost the recovery of the American manufacturing sector.