In 2020, the US trade deficit was driven down by the energy trade, where exports exceeded imports for the first time since at least 1974.
Last year’s net merchandise trade value of energy products was at a surplus of USD27 billion. Meanwhile, the net merchandise trade value of non-energy goods hit a record of USD938 billion deficit and drove the total net trade value deficit of USD911 billion.
In 2020’s energy trade, petroleum made up 92% of import value and 74% of export value. The net petroleum trade value deficit was the lowest level on record at USD3 billion last year, mainly on account of the slump in consumption due to the coronavirus pandemic.
The share of natural gas for the US energy trade rose, made up 5% of energy import value and 22% of energy export value, which led to a surplus of USD26 billion. The country’s natural gas export volume soared to a record high last year.
Looking forward, the Energy Information Administration (EIA)’s latest Short-Term Energy Outlook (STEO), the US is estimated to resume importing more petroleum than it will export in 2021 and 2022.
In the first six months of this year, the country’s net trade value of energy was a surplus of USD9 billion, while the non-energy trade was a deficit of USD505 billion. The US also exported record volumes of pipeline gas to Mexico and liquefied natural gas (LNG).
