US Trade Deficit Reaches $901.5 Billion in 2025; December Gap Widens to $70.3 Billion

The U.S. trade deficit widened to $901.5 billion in 2025, one of the largest gaps since 1960, the Commerce Department reported Thursday, February 19. The December deficit expanded to $70.3 billion, far exceeding expectations of $55.5 billion, as imports rose 3.6% and exports fell 1.7%. The data reflects volatility from tariff policies, with front-loaded imports of gold and pharmaceuticals. The real goods trade deficit increased to $97.1 billion, the highest since July 2025. Economists will use this data to revise Q4 GDP estimates ahead of the official release on Friday, February 20. Notably, the trade deficit with China narrowed to a 20-year low of roughly $202 billion, while the gap with Taiwan hit a record $146.8 billion.