The US Census Bureau of the US Department of Commerce reported Tuesday that the trade deficit widened significantly in May to $50.2 billion from $43.6 billion in April. Exports were down $1 billion from April to $174.9 billion in May, while May imports jumped $5.6 billion to a total of $219.4 billion as a barrel of crude oil cost an average of $108.70 in May, the highest since August 2008. The goods and services deficit was also up $8.1 billion in May compared to May 2011.
Exports of steelmaking materials totaled $1.3 billion in May compared to $1.4 billion in April; meanwhile, exports of iron and steel products fell $14 million to $589 million month-on-month in May. On the other hand, exports of iron and steel mill products rose by $28 million in May to $1.037 billion. Imports of iron and steel mill products also increased in May to $2.05 billion from $1.79 billion. Imports of steelmaking materials declined $20 million in May to $780 million.
In Canada, Statistics Canada reported Tuesday that merchandise exports increased 1.2 percent in May while imports rose 1.1 percent, resulting in a trade deficit of C$814 million (US$843 million) compared to a deficit of C$857 million (US$888 million) in April. Exports of industrial goods and materials rose 4 percent to C$9.5 billion (US$9.8 billion) on the strength of metals and alloys in May. Exports of machinery and equipment gained 4.8 percent to C$6.3 billion (US$6.5 billion) and volumes grew 5.3 percent. Exports of automotive products increased 3.9 percent to C$4.9 billion (US$5.1 billion) in May.
Imports of automotive products in Canada rose as well, increasing 3.6 percent to C$5.8 billion (US$6 billion) in May and imports of industrial goods and materials increased for the third consecutive month to a record high of C$8.3 billion (US$8.6 billion), up 2.2 percent from April.