Economics and Trade Bulletin August 6, 2018
U.S.-China Economic and Security Review Commission2
Bilateral Trade
U.S. Goods Deficit with China Expands on Stronger Imports in Q2 2018
In June 2018, the U.S. deficit in goods with China reached $33.5 billion, up 2.8 percent year-on-year; U.S. exports
to China were $11.1 billion, up 14.5 percent year-on-year, and imports from China were $44.6 billion, a 5.5 percent
increase year-on-year (see Figure 1). This month, U.S. exports increased primarily in aircraft and associated parts,
and crude oil, while U.S. imports from China increased in clothing, toys, games and sporting goods, and cell
phones.1 Notably, in June U.S. agricultural exports to China fell 34.4 percent relative to the previous year. In
addition, though U.S. farmers saw a surge in soybean exports, as sellers tried to get ahead of Chinese retaliatory
tariffs, April and May agricultural exports to China also declined year-on-year.2
Figure 1: Monthly Goods Trade with China, June 2016–June 2018
Source: U.S. Census Bureau, Trade in Goods with China, August 3, 2018. census.gov/foreign-trade/balance/c5700.html.
In the first six months of 2018, U.S. imports from and exports to China increased by between 8 and 9 percent year-
on-year (see Figure 2). The goods trade deficit for the first half of 2018 also increased about 9 percent—to $185.7
billion—relative to the first half of 2017. As shown in Figure 2, trade with China is marked by seasonal variation:
greater export and import volumes typically occur in the second half of the year.
ExportsImportsTrade Deficit
Economics and Trade Bulletin August 6, 2018
U.S.-China Economic and Security Review Commission3
Figure 2: Goods Trade with China, January 2015–June 2018
Source: U.S. Census Bureau, Trade in Goods with China, August 3, 2018. census.gov/foreign-trade/balance/c5700.html.
U.S. Agriculture Exports to China Fall 14 Percent in Q2 2018
A review of the top five U.S. exports to and imports from China shows that transportation equipment comprises the
largest share—about a fifth—of U.S. exports to China, while computers and electronic products make up about a
third of U.S. imports from China (see Table 1). Notably, agricultural products—which are usually ranked into the
top five—experienced a significant decline: 4.5 percent in April, 9.6 percent in May, and 34.4 percent in June
relative to 2017, leading to an overall decline of 14.0 percent for Q2 2018. Exports of livestock and livestock
products fell by 39.2 percent relative to the second quarter of 2017. U.S. agricultural exports to China usually pick
up in late summer, but with Chinese retaliatory tariffs on U.S. agriculture in force, the coming months provide a
window to examine their impact. Finally, waste and scrap exports remain impacted by the Chinese ban on imports
of waste and scrap: exports fell 30.3 percent relative to 2017.*
Though transportation equipment maintained its place as the largest U.S. export to China, the value of transportation
equipment’s exports declined about 10 percent over the same period in 2017. Conversely, oil and gas exports
continued to increase in the second quarter, with a 129 percent increase year-on-year.
* See “Sector Focus: China Ends Waste and Scrap Imports,” in U.S.-China Economic and Security Review Commission, Economics and
Trade Bulletin, October 5, 2017, 8. uscc.gov/sites/default/files/Research/October%202017%20Trade%20Bulletin_0.pdf.
Economics and Trade Bulletin August 6, 2018
U.S.-China Economic and Security Review Commission4
Table 1: U.S. Trade with China: Top Five Exports and Imports
Source: U.S. Census Bureau, USA Trade Online, August 3, 2018. https://usatrade.census.gov/.
Advanced Technology Products Deficit Increases
The U.S. trade deficit with China in advanced technological products (ATP) stood at about $32.1 billion in the
second quarter of 2018, up 3.7 percent over the second quarter of 2017 (see Table 2).
Table 2: ATP Trade through June 2018
(US$ millions)
Source: U.S. Census Bureau (Washington, DC: U.S. Department of Commerce, Foreign Trade Division, August 2018).
census.gov/foreign-trade/statistics/product/atp/2017/12/ctryatp/atp5700.html.。。。