US August trade deficit widens to $105.6 billion, surpassing $102.0 billion

• July's deficit was $92.8 billion.

Here are the figures from the BEA:

• The goods and services deficit came in at $105.6 billion, compared to a revised $92.8 billion in July.
• The deficit increased by $12.7 billion, or 13.7% month-over-month.
• Exports totaled $315.2 billion, a rise of $4.5 billion or 1.4%.
• Imports reached $420.8 billion, climbing $17.2 billion or 4.3%.
• The goods deficit was $136.6 billion, $12.8 billion wider.
• The services surplus held at $31.0 billion, nearly unchanged.
• On a real (inflation-adjusted) basis, the goods deficit was $114.7 billion, expanding 8.2%.
• For the year through August, the deficit is down 19.9% versus the same stretch in 2025.

August saw a sharp widening of the US trade gap, driven by a much larger rise in imports than in exports. The Commerce Department's Census Bureau and BEA put the goods and services deficit at $105.6 billion, up from a downwardly revised $92.8 billion in July.

Import growth was led by industrial supplies and capital goods. Industrial supply imports advanced $9.1 billion, with crude oil up $3.3 billion and nonmonetary gold up $3.1 billion. Capital goods imports gained $6.2 billion, driven by semiconductors and other industrial machinery.

Exports rose as well, lifted by gold, crude oil, and tech products. But a $2.4 billion drop in pharmaceutical exports restrained the advance. Even with August's worsening, the year-to-date deficit is still smaller than a year earlier.

In quick analysis: imports were the main driver, widening the deficit. The larger inflation-adjusted goods deficit implies a bigger drag from net exports on third-quarter GDP, all else equal. However, gold receives special handling: the BEA substitutes its own adjustment for reported nonmonetary gold when computing GDP, meaning the headline widening will not map directly into the growth estimate. U.S. Bureau of Economic Analysis (BEA)

Rising capital goods imports may also point to investment demand. This gives the report a mixed growth signal, not a clear sign of economic softness. On its own, the data is unlikely to materially alter the Federal Reserve's policy stance; a bigger trade drag could put some pressure on the dollar and bond yields at the margin, though inflation and employment are still the more direct policy guides.

This report tracks U.S. exports and imports of goods and services. A deficit occurs when imports outstrip exports. The seasonally adjusted data are watched by traders since shifts in inflation-adjusted net exports influence GDP growth; the nominal dollar figures also capture price changes and are open to revision.