Trade deficit at four month low as beef exports increase

by Editor
Monday, August 20, 2007

The U.S. trade deficit dropped to a four-month low in June with beef exports continuing to grow, posting a 24.5% gain.

According to the U.S. Commerce Department Mexico remains the top market for U.S. beef exports, but shipments declined by 20% from a year ago. However, the increase in shipments to Japan and Korea have more than offset this decline.

In addition, U.S. beef exports to Canada also rose by about 43.8%. Broiler exports in June surged by 33.1%. Shipments to Russia, still a key market for the U.S. broiler industry, were up 89% from a year ago.

While beef exports continue to rise, U.S. pork exports showed a decline for the fifth consecutive month. So far this year, pork exports have declined 5.5% compared to the first six months of 2006.

June shipments to China rose 150% from last year, with most of this product being fresh pork cuts. In contrast, Mexican business in June was down 44.5% from a year ago.