U.S. Trade Deficit 2025 Narrows as Goods Gap Hits Record
U.S. Trade Deficit 2025 edged down as a record goods shortfall and a computer-led import surge offset stronger services, nudging trade-sector flows.
KEY TAKEAWAYS
- Goods deficit rose to $1,240.9 billion, a record, driven by capital goods and computers.
- Services surplus grew $27.6 billion, offsetting much of the expanding goods shortfall.
- Capital goods led import gains with computers accounting for $101.4 billion of the increase.
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The U.S. trade deficit for 2025 narrowed slightly as the goods shortfall reached a record high and imports climbed, offset by a rising services surplus, the Census Bureau and Bureau of Economic Analysis reported on Feb. 19, 2026.
Annual Trade Overview
The combined goods and services deficit for 2025 was $901.5 billion, down $2.1 billion, or 0.2%, from 2024. The goods deficit expanded by $25.5 billion, or 2.1%, to a record $1,240.9 billion. This increase was largely offset by an 8.9% rise in the services surplus, which grew $27.6 billion to $339.5 billion.
Exports rose 6.2% to $3,432.3 billion, with goods exports accounting for $2,197.5 billion, up $117.7 billion. The growth in services helped temper the overall deficit despite the expanding goods gap.
Imports Growth and Bilateral Deficits
Total imports increased 4.8% to $4,333.8 billion, driven by a $143.2 billion rise in goods imports to $3,438.4 billion, despite the continued presence of Trump-era tariffs. Capital goods led the import surge, rising $165.9 billion, with computer imports up $101.4 billion and industrial supplies increasing by $23.3 billion. These shifts indicate strong demand for equipment and technology in the U.S. economy.
On a Census basis, the largest bilateral goods deficits were with China at $202.1 billion, down from the previous year; Mexico at $196.9 billion; Vietnam at $178.2 billion, up 44%; and Taiwan at $146.8 billion, which doubled from the prior year. These figures highlight persistent and evolving trade imbalances with key partners.
Monthly data showed the December goods and services deficit widened to $70.3 billion, a 32.6% increase from the revised November estimate of $53.0 billion, reflecting mixed short-term momentum.
Measured in 2017 dollars on a Census basis, the real goods deficit rose 5.7% to $1,197.1 billion in 2025, indicating the increase was not solely due to inflation.
The timing of the next trade report remains to be determined following a 2025 federal funding lapse that delayed data publication.
