Skip to comments.The Untold Story of the U.S. Trade Deficit: Rising Exports [An Industrial Export Rebound]
Posted on 02/17/2011 2:18:01 AM PST by expat_panama
The U.S. trade deficit grew to $497.8 billion in 2010, but that number is actually somewhat deceptive. In fact, the nation's manufacturing sector posted significant continued export gains last year.
An Industrial Export Rebound
The real story in the international trade arena is the U.S. manufacturing sector's ongoing impressive export performance.
Led by increases in industrial equipment, capital goods, civilian aircraft, supplies and autos, exports of U.S. goods increased by by 20.8%, from $1.07 trillion in 2009 to $1.29 trillion in 2010. Products such as electric utility generators produced by General Electric (GE), commercial airplanes manufactured by Boeing (BA), and tractors and other agriculture equipment produced by Caterpillar (CAT) and Deere (DE), among other heavy-industrial equipment, were at the forefront of the uptrend.
After bottoming out with a monthly total of $84.2 billion in January 2008, during the financial crisis' acute stage, goods exports have risen essentially continuously for two years, and totaled $116.6 billion in December 2010. Given strong GDP growth in the industrial goods purchasing nations of China, India and Brazil, among others, the rising U.S. manufacturing export trend will extend through 2011, and probably for considerably longer.
It's also worth noting that the strong international performance by U.S. manufacturers occurred in advance of the full implementation of President Obama's National Export Initiative, which is aimed at doubling U.S. exports by the end of 2014. Doubling U.S. exports in three years is a long shot, but the initiative should provide an additional boost to exports, due to the program's increased marketing of U.S. goods and services in foreign countries, among other benefits.
(Excerpt) Read more at srph.it ...
—hate to be the bearer of good news...
You must have failed 5th grade arithmetic. We are exporting more but importing went up even more. Thus larger trade deficit.
“We are a mighty importing superpower” — Toddster
This is like someone bragging about making $300,000 this year compared to making only $200,000 last year. Yeah good going by him only problem is he spent $150,000 more this year than last so he fell behind
(leaving out taxes above for simplicity)
True. US manufactures sold goods to foreigners and were paid with dollars gotten when we bought imports; international payments balance. The problem is when we divide up the kinds of international payments into accounts, and when we spend our profits from trading on the London Stock Exchange and we buy Canadian oil, we call it a 'trade deficit'.
We're better off, we're rich, and doom'n'gloomers complain. What's not to like?
You never considered that the people&nations we import from are doing the same. Thanks for the kindergarten level reasoning from you. By your light nations are wasting their time collecting and publishing trade statistics of any kind. But the fact is that economists much smarter than you and I pay attention to trade statistics and deficits. Thanks anyway for the egocentric short term thinking...the libertarian credo of I me mine
You libertarians and free traitors are just riding the wave of US dollar as world’s reserve currency. This is changing due to continual trade deficits and Federal deficits and the printing of USDs to cover it up. Other nations are onto this scam and resent it. Eventually a gold/silver backed alternative currency will blow this all out the door. You US dollars that used to buy five Chinese knick-knacks will only buy one and even worse the oil price (in US dollars) will zoom upward. But then what do you care since you are squatting in Panama.....
When inflation heats up, American prices will rise and our exports will fall as they become more and more uncompetitive. Oh, yeah, imports will increase.
The Fed's inflationary monetary policy of the last 50 years (started with LBJ; really took off under Nixon) has caused severe dislocations in our economy. Get ready for another round of them.
Yep, my brother is in England this week doing a startup install on a $million+ printing press. He’s also done installs in France, Japan, and Mexico.
You fail, that is fail, to consider the fact that Americans like, even love the imported goods they buy. They like the fact that it is inexpensive and their income goes further when stuff costs less.
As Americans go, you have beliefs that are decidedly in the minority. Americans have voted with their income and overwhelmingly support buying stuff made by workers abroad who offer the best value for their money
Donald Trump is on the import tarrifs kick, likely assumes that his investments will benefit from protection. It won't likely help these exporters, more-so hurt them, as Obama has learned as Bush did before him. The unions take the same positions :"Screw US exporters and the US consumer" as do many Democrats and Republicans.
Trump has been getting on TV claiming that the US government can fight high oil prices just by pressuring OPEC to not raise them, all while he supported the Obama-Pelosi stimulus bill and devaluing the dollar. I see him on Cavuto from time to time.
dennisw-- "You never considered that the people&nations we import from are doing the same."
Dennis finally stumbles onto the truth. Good job!
Todster fails again to keep his mouth shut when it would have been better to do so.
Why’s that, blam?
You talk to much and you start an argument on every thread where I see you.
Give it a break, eh?
Any thoughts on comment #3? I’d like to see how you apply your own rules.
Many think that guys like Trump get on TV because they say stuff that’s true so we’re supposed to pay attention. Reality is that clowns like Trump get themselves on TV by having a rep for sticking to the party line.
Hey blam, how you taking the manufacturing export news?
Is FR too rough for your tender sensibilities?
I think that's a little suprising but excellent news regardless.
Nah...you're just tiring saying the same contensious things over and over...
(I probably should have continued to ignore you)
Me too, then again sometimes it’s nice to take a break from exporting US mfg goods and get a few laughs on the FR hearing all the clowns say America never makes or exports anything.
Dennisw hasn't irritated me yet...maybe I haven't been on many threads with him.
When he irritates me, I'll say something.
Please add me to your ignore list.
Yeah, when idiots say the same stupid stuff, I'm always correcting them, over and over.
(I probably should have continued to ignore you)
Smartest thing you've said today.
You've been on the list...
One thing we apparently still make here:
I prefer your condemnation to your suckin' sympathy,
Baby, good for nuthin' is good enough for me.
I have to get a haircut now. You cute little boys continue without me.
Seems that most of what’s reported in the news is bad even though most things happening are good. I pretty much ignore the standard news when I’m getting a handle on what’s up, and I only pick it up when I want to skip 99.9% of the world and focus on just the 1/10th of a percent that’s trying to kill me.
Don’t forget to have them shave the inside of your palms.
To the logic deprived and the reality derived:
It is great that we are exporting more but we are importing even more than that so the trade deficit widens
You are patting yourself on the back for only looking at half the equation
I am amazed, continually amazed, at the gross ignorance of FReepers when it comes to exports. We have huge exports.
Were it not for exports, we would have no economy. When you get down to it, if exports and the direct related jobs were not present, the tons of indirect jobs would be gone. Then those that depend on the overhead supported by the exports would be in jeopardy.
There is always whining and moaning about manufacturing. the truth is we have hordes of small companies that make all sorts of very special products with technology others don’t have. Customers come from all over the world, that is all over the world, to buy from these companies.
I understand there is no way to understand the magnitude of the exports without serious study or hands on experience. Bottom line is that the ignorance will survive because it takes too much effort to learn enough to be enlightened.
Donald Trump is clearly what libertarians call a corporatist( I call corporatist-statist ) , He loves government funded bailouts, Bush-Pelosi and Obama-Pelosi stimulus's and illegal (amnesty) cheap labor paid for by our property taxes. He doesn't like higher taxes on himself or his investments, doesn't like competition on his investments. He is for his $$$$.
Sort of like H. Ross Perot, if you think about it . . . .
Well Ross gave a appearance of insanity that Trump doesnt, but there are similarities. In 1992 Ross did everything he could to get Bush to lose, attacking Bush only in race. Then early 1993 he turned against Clinton sharply (fun to watch.)
Trump supported Obama’s policies and the Obama-Pelosi stimulus in early 2010, but later in 2011 acted like he was really a Republican that opposed them (taxes and regulations maybe?)
Maybe Trump followers think Trumps advice will make them money like him. Trumps advice will make Trump money. Want investment advice?? Try Jim Rogers, he doesn't pose a Savior of the USA.
Sorry, I mean : “Trump supported Obamas policies and the Obama-Pelosi stimulus in 2009 but..”