InterDigital Inc (IDCC)

[olddog967]

jjff: I don't know how you can come to the conclusion that "BOTTOM LINE WE HAVE BEEN DOING GREAT ALL OVER THE WORLD WITH OUR TRADING PARTNERS!!!!!!!!!!!!!!!!!!!"


According to the following article, last year the overall US trade deficit in goods and services was $621 billion, which was a 10.6% increase over the $552 deficit in 2017. China only accounted for 47% of the total U.S. deficit in goods. As I previously noted, the US is only doing good in services, with a net suplus of $270 million.


US Trade Deficit and How It Hurts the Economy

In 2018, the U.S. trade deficit was $621 billion according to the U.S. Census. It imported $3.1 trillion of goods and services while exporting $2.5 trillion. The deficit is higher than in 2017 when it was $552 billion. That's despite the trade war initiated by President Donald Trump. One reason is that the dollar strengthened between 2014 and 2016, according to the U.S. dollar index. It weakened a bit in 2017 but strengthened again in 2018. A strong dollar makes imports cheaper and exports more expensive.

But the deficit is less than the record $762 billion in 2006. The decrease since then means U.S. exports grew faster than imports. That's good for U.S. businesses and job growth.

Trump's protectionist measures include a 25% tariff on steel imports and a 10% tariff on aluminum. China, the European Union, Mexico, and Canada have announced retaliatory tariffs, hurting U.S. exports. The tariffs depressed the stock market. Analysts worry that Trump has started a trade war that will hurt international trade.
Consumer Products and Autos Drive the Trade Deficit

Consumer products and automobiles are the primary drivers of the trade deficit. In 2018, the United States imported $648 billion in drugs, televisions, clothing, and other household items. It only exported $206 billion of these consumer goods. The imbalance added $442 billion to the deficit. America imported $372 billion worth of automobiles and parts, while only exporting $159 billion. That added $214 billion to the deficit.
Petroleum Imports Are Falling

In 2018, the United States imported $215 billion in petroleum products. That includes crude oil, natural gas, fuel oil, and other petroleum-based distillates such as kerosene. That was a lot lower than the record $313 billion imported in 2012. New U.S. shale oil fields have been developed to the point where there is now an oversupply.

U.S. petroleum exports were only $153 billion. As a result, petroleum trade contributed $62 billion to the trade deficit.
America Is a Net Exporter of Services

The United States exported more services than it imported. It exported $828 billion in services while importing only $558 billion. That created a trade surplus of $270 billion. It means U.S. services are very competitive in the global market. The surplus helps offset the deficit in goods.

Here's how much each category contributed to the trade surplus in services:

Intellectual property, as measured by royalties and license fees -- $79 billion.
Travel-related services and transport -- $54 billion.
Computers and other business services -- $55 billion.
Financial and insurance services -- $63 billion.

The Primary Trading Partners

The primary 2018 U.S. trading partners are China, with a total trade of $670 billion; Canada, with $617 billion; and Mexico, with $611 billion. The trade deficit with China is $419 billion. It's responsible for 47% of the total U.S. deficit in goods. The other U.S. trading partners don't create as much of a deficit.
How the Dollar's Value Affects the Trade Deficit



https://www.thebalance.com/u-s-trade-deficit-causes-effects-trade-partners-3306276