EXPORTS, IMPORTS, and TRADE BALANCE

KEY TRENDS

• The substantial upturn in U.S. exports of machinery in 2004, which helped to slow the historical rise in the trade deficit in this sector, was largely due to a $5.5 billion increase in U.S. sales of semiconductor manufacturing equipment to Taiwan, Singapore, Japan, China, and Korea for expansion and modernization.
  
  
• Major increases in U.S. imports of machinery during 2004 were concentrated in household appliances; farm and garden machinery; and taps, cocks, valves, and similar devices. Imports in these product categories expanded in response to the growth of the U.S. economy, historically low interest rates, and a strong U.S. housing market.
  
  
• U.S. bilateral trade in machinery in 2004 was again dominated by Mexico, Japan, China, Canada, and Germany, with the continued expansion of imports of machinery from China elevating the country to second-largest supplier, less than $500 million behind long-time leader Mexico.

TRADE SHIFTS in 2004 from 2003

• U.S. trade deficit: Increased $2.1 billion (7 percent) to $31.8 billion
• U.S. exports: Increased $13.3 billion (21 percent) to $76.7 billion
• U.S. imports: Increased $15.4 billion (17 percent) to $108.6 billion
• Semiconductor Manufacturing Equipment exhibited the largest shift.
  
  

LINKS

USITC PUBLICATIONS
332 Investigations

• Foundry Products: Competitive Conditions in the U.S. Market

Industry Trade and Technology Review

• Production-Sharing Update: Developments in 2003 (Machinery and Electronic Products)

OTHER GOVERNMENT RESOURCES
U.S. Department of Commerce, International Trade Administration

• Office of Machinery

SECTOR SHIFTS

| Agricultural Products | Forest Products | Chemicals and Related Products |
| Energy and Related Products | Textiles, Apparel, and Footwear |
| Minerals and Metals | Machinery | Transportation Equipment |
| Electronic Products | Miscellaneous Manufactures |

COUNTRY SHIFTS