U.S. trade deficit hits $105.6 billion despite tariffs

Tariffs did not stop U.S. imports from accelerating in August. The trade deficit widened 13.7% to $105.6 billion, its highest level in 17 months and above the $102 billion expectation. Imports rose 4.3% to $420.8 billion, while exports grew just 1.4% to $315.2 billion.

That leaves a $136.6 billion goods deficit, partly offset by a $31 billion services surplus. The result puts tariff policy at odds with its stated goal of reducing imports, even though the deficit remains nearly 20% lower year-to-date than in 2025.