U.S. posts $38.8 billion trade deficit in August

WASHINGTON, Oct. 24 (UPI) -- The U.S. trade deficit rose 0.4 percent to $38.8 billion in August, as exports slid and imports remained unchanged, the Commerce Department said.

The deficit was based on a $100 million drop in exports from July to $189.2 billion. Imports, however, were "virtually unchanged at $228 billion," the department said.

July's trade deficit was revised to $38.6 billion from the previously reported $39.15 billion.

The department said trade created a $3.7 billion surplus with Hong Kong, a $1.7 billion surplus with Brazil and a $1.4 billion surplus with Australia.

With Singapore, U.S. trade came out $1.1 billion ahead in the month.

The largest deficit for the month was $29.9 billion in trade with China. There was a $9.8 billion deficit with the European Union, a $7.3 billion deficit with the Organization of Petroleum Exporting Countries, and a $6.4 billion deficit with Japan.

Smaller deficits were posted with Germany, Mexico, Saudi Arabia, Canada, Ireland, Korea, India and Venezuela.

The trade report was due for release Oct. 8, but was postponed due to the 17-day U.S. government shutdown.