The U.S. trade deficit nearly doubled in November of 2025, driven by a surge in capital goods imports likely tied to artificial intelligence investments.
The trade gap widened 94.6% to $56.8 billion, marking the largest percentage increase since March 1992, according to data released Thursday by the Commerce Department's Bureau of Economic Analysis and Census Bureau. Economists had projected a deficit of $40.5 billion.
The report, delayed by the 43-day U.S. government shutdown, showed imports jumped 5.0% to $348.9 billion. Goods imports rose 6.6% to $272.5 billion, with capital goods soaring $7.4 billion to reach a record high, boosted by strong gains in computer and semiconductor imports. However, imports of computer accessories fell by $3.0 billion.
Consumer goods imports increased by $9.2 billion, lifted by pharmaceutical preparations, which have seen large swings likely related to U.S. tariffs. Imports of industrial supplies decreased by $2.4 billion, while imports of "other goods" reached record levels.
Exports declined 3.6% to $292.1 billion in November. Goods exports fell 5.6% to $185.6 billion, pulled down by a $6.1 billion decrease in industrial supplies and materials exports. This decline reflected reduced shipments of non-monetary gold, other precious metals, and crude oil, with the latter dropping by $1.4 billion. Consumer goods exports decreased $3.1 billion, primarily due to lower pharmaceutical preparations shipments.
The goods trade deficit widened 47.3% to $86.9 billion. While service imports fell, exports in that category reached record highs.
The November data may lead economists to reduce their fourth-quarter economic growth estimates. Trade had contributed positively to GDP growth in both the second and third quarters of 2025.
The Atlanta Federal Reserve currently forecasts fourth-quarter GDP growth at a 5.4% annualized rate, though some Wall Street banks have estimates as low as under 3.0%.
Source: investing