New memo on WTO conflict with measures to fight too big to fail banks
U.S. dolphin-safe tuna labeling rule deemed a WTO violation

Trade Deficit with FTA Countries Continues to Climb

Yesterday the Census Bureau released the March trade flow numbers, revealing that our trade deficit continues to worsen. The U.S. trade deficit rose by $2.8 billion, or 6.2 percent, between February and March on a seasonally-adjusted basis.

With Congress on the verge of considering another set of trade agreements based on the NAFTA model, digging into the data of this new release could help illustrate whether existing NAFTA-style trade agreements are aiding or hindering the fight to keep the trade deficit under control.

The most recent trade data shows that the deficit with our 17 FTA partners continues to worsen, adding to the body of evidence that NAFTA-style trade agreements are hurting American workers. Between February and March, the U.S. trade deficit with U.S. FTA partners grew by $1.6 billion, or 12.3 percent. News reports on the trade deficit noted that the dramatic rise in the price of oil in March accounted for much of the widening of the overall trade deficit. Do oil imports explain the rise in the trade deficit with our FTA partners? No, the jump in the trade deficit with U.S. FTA partners is still huge when you take out oil to account for the jump oil prices. With oil excluded, the trade deficit with FTA partners increased by $846.9 million, or 13.9 percent, between February and March. The non-oil trade deficit with countries that are not FTA partners grew by only 6.8 percent over February-March, less than half the pace of the growth in the deficit with FTA partners.

The latest trade numbers are a sign that the trade deficit is acting as a brake on the momentum of the economic recovery. Given that trade with our current FTA partners act as a primary force in that brake, it is time for the Obama administration to rethink the Korea, Panama, and Colombia FTAs and chart a path away from the old trade model that leads to skyrocketing deficits.

Print Friendly and PDF


Don Juan of Austria

Thanks for continuing to update this great analysis.

Jabbar Chaibainou

Please help me save our precious unguarded prosperity
Book title:
[I Would Rather Die
Poor in a Rich America
Than die
Rich in a Poor America]

This book is the only hope left to save our nation’s prosperity. We cannot continue consuming everything we don’t produce and keep our superpower status. 75% of America’s labor force doesn’t have a college degree. Retail and service jobs will never give them the tools they need to purchase a house or new car, and hence our economic recovery will even suffer more. Mid-wage jobs have been decimated by the economic downturn, only to be replaced by low-wage ones.
This book contains the ultimate and the only formula left to help those 75% earning $32/hr. or more and give college graduates the opportunities to enjoy the American lifestyle they deserve.
Re-manufacturing America is the only prescription left. This book contains the way to successfully revive the foundation of our economy and create breadwinning jobs. And this is how we are going to bring our currency back and not by borrowing it. We are America; we don’t have to beg for something we proudly and easily can earn.
Please, help me help our nation win the trade war. We are not trading with other countries but we are trading our future away. I truly have a crystal clear vision how to give the biggest economic boost our nation has ever seen. May God bless you and bless the unique and defeated nation.
I would love for you to review my book and possibly give me an interview. I really have something interesting to say that is unique, controversial and fascinating. I could be the biggest attention grabber on your establishment. I naturally have what it takes to inform and entertain your readers by being engaging and charismatic. I passionately speak from the heart. I stand in truth, live and move in joy. And yes as a Muslim American I will die for this country. This country owes me nothing and in return I owe my entire life to it. That is fairer.”
Jabbar Chaibainou
[email protected]
tel: 405-243-9119

The comments to this entry are closed.