AI spending fuels U.S. trade gap to $77.6B in May
The U.S. trade deficit widened to $77.6 billion in May as imports rose 3.3% to $395.3 billion and exports fell 3.2% to $317.7 billion, a 42.2% monthly jump—the largest in a year—driven by AI-era demand for goods such as pharmaceuticals, mobile phones and semiconductors. Semiconductors imports jumped by $1.2 billion; petroleum imports reached a record high; auto parts and engines imports rose as automakers shift production, with Toyota announcing a $3.6 billion U.S. investment. The deficit was largest with Vietnam, Mexico, Taiwan, China and the EU, while the Netherlands and Hong Kong posted surpluses.
