Jun 17 2009
The USA Export number for April was at a 35 month low. The Imports number for April dropped also, however, slightly. The reports from the Census Bureau show a larger deficit when combining both the imports and the exports. Oil is a big part of why it is now wider. There are 2 reasons:
1) The US imported almost 3 million barrels more oil than in March.
2) The cost of oil went up from $41.36/barrel in March to 46.60/barrel in April.
Jun 05 2009
There is a lack of demand for our USA export products!
That was the headline of an article in the Dallas Morning News. It is true that the trade deficit has been getting smaller since the peak in July 2008. That is the result of the decreasing amount of exports and an even more decreasing amount of imports. The global recession has placed a great pressure on sales everywhere. However, according to the CIA world factbook, the US ranks No. 41 in the world for exports per capita. We are right after Gabon at $4482! Some European countries are exporting more than they produce for their own consumption.
It is a fact that US manufacturers have been very busy taking care of their own backyard. And they have taken extremely good care of their backyard. The US has the largest economy in the world. Nevertheless, they have gained little experience looking outside of the US borders and especially outside of North America for USA export products. It is the result of not having offered their products to foreign buyers in a concerted effort. The world economy has been global for several years. Do all US manufacturers understand that in order to survive, exporting is an absolute necessity? Continue Reading »
