The U.S. trade deficit is continuing to shrink. The balance on trade of goods and services and income receipts and payments has decreased from the third quarter of 2006 at $193.5 billion to $152.7 billion in the third quarter of 2007. This over 40 billion dollar narrowing of the trade deficit has been accomplished primarily by an increase in exports which has outpaced the increase in imports. The table below shows the relative growth of the accounts and the narrowing of the deficit. These figures do not include unilateral transfers of money, such as foreign workers sending money to relatives and family in foreign countries, estimated at $25.8 billion in the third quarter of 2007.
The source of this information is the Bureau of Economic Analysis.