Imports Fell for First Time in Nine Months in April, Amid Destocking
2022.06.07 16:17
By Geoffrey Smith
Investing.com — Imports into the U.S. fell in April for the first time in nine months, amid signs that slowing demand from consumers is leaving final sellers of goods with too much inventory.
Imports of goods fell by $13 billion to $283.8 billion, with consumer goods accounting for half of that decline, the Bureau of Economic Analysis said on Tuesday. Imports from China alone fell by $10.1 billion, in part, a reflection of growing problems in shipping products out of Shanghai, which entered a two-month stop-start period of lockdown in the month.
Exports, meanwhile, held up better, rising 3.5% on the month to $252.6 billion,. Exports of natural gas and petroleum products both rose, as European buyers increasingly turned to the U.S. for alternatives to Russian energy supplies in the wake of Russia’s invasion of Ukraine. As such, the trade deficit narrowed from a record $107.7 billion in March to $87.1 billion in April.
The numbers corroborate an increasing trend across the retail sector, which has complained of fresh supply chain problems in sourcing product from China. Various retailers have also struggled to sell everything they did get hold of, with the 40-year high in inflation putting increasing pressure on disposable incomes and spending levels.
