United States Department of
COMMERCE NEWS  
Washington, D.C. 20230             

ECONOMICS AND
STATISTICS ADMINISTRATION
------------
U.S. Census Bureau
U.S. Bureau of Economic Analysis
                                
This release contains sensitive economic data not to be released before 8:30 a.m. 
Thursday, February 10, 2005

CB-05-17   
BEA-05-05
FT-900 (04-12)

For information on goods contact:
U.S. Census Bureau:
Nick Orsini       (301) 763-6959
Vanessa Ware      (301) 763-2311

For information on services contact:
U.S. Bureau of Economic Analysis:
Technical:  Christopher Bach  (202) 606-9545
Media:      Ralph Stewart     (202) 606-9690

U.S. INTERNATIONAL TRADE IN GOODS AND SERVICES
December 2004
           
Goods and Services

The U.S. Census Bureau and the U.S. Bureau of
Economic Analysis, through the Department of
Commerce, announced today that total December 
exports of $100.2 billion and imports of $156.6 billion
resulted in a goods and services deficit of $56.4 billion,
$2.9 billion less than the $59.3 billion in November,
revised.  December exports were $3.1 billion more than
November exports of $97.1 billion.  December imports
were $0.1 billion more than November imports of
$156.4 billion.

In December, the goods deficit decreased $2.9 billion from
November to $60.6 billion, and the services surplus was
virtually unchanged at $4.2 billion.  Exports of goods
increased $3.0 billion to $71.1 billion, and imports of goods
increased $0.1 to $131.7 billion.  Exports of services
increased $0.1 billion to $29.1 billion, and imports of services
increased $0.1 billion to $24.9 billion.

In December, the goods and services deficit was up $12.4
billion from December 2003.  Exports were up $10.1 billion,
or 11.2 percent, and imports were up $22.5 billion, or 16.8
percent.

Goods
     
The November to December change in exports of goods
reflected increases in capital goods ($1.6 billion); industrial
supplies and materials ($0.7 billion); consumer goods
($0.6 billion); and automotive vehicles, parts, and engines
($0.3 billion).  A decrease occurred in other goods ($0.2
billion).  Foods, feeds, and beverages were virtually
unchanged.
     
The November to December change in imports of goods
reflected increases in capital goods ($0.6 billion);
automotive vehicles, parts, and engines ($0.3 billion); and
foods, feeds, and beverages ($0.1 billion).  Decreases
occurred in industrial supplies and materials ($0.9 billion)
and other goods ($0.1 billion).  Consumer goods were
virtually unchanged.

The December 2003 to December 2004 change in exports
of goods reflected increases in industrial supplies and materials
($3.2 billion); capital goods ($2.7 billion); consumer goods
($1.6 billion); automotive vehicles, parts, and engines ($0.9
billion); and other goods ($0.3 billion).  A decrease occurred in
foods, feeds, and beverages ($0.1 billion).

The December 2003 to December 2004 change in imports
of goods reflected increases in industrial supplies and materials
($11.0 billion); consumer goods ($3.9 billion); capital goods
($3.6 billion); automotive vehicles, parts, and engines ($1.0
billion); foods, feeds, and beverages ($0.6 billion); and other
goods ($0.2 billion).


Services
     
Services exports increased $0.1 billion from November to
December.  Small increases in most services categories were
partly offset by a decrease in other transportation (which
includes freight and port services).

Services imports increased $0.1 billion from November to
December.  Increases in passenger fares, travel, and other
private services (which includes items such as business,
professional, and technical services, insurance services, and
financial services) were partly offset by a decrease in other
transportation.
                                  
From December 2003 to December 2004, services exports
increased $1.6 billion.  The largest increases were in other
private services ($0.4 billion), travel ($0.4 billion), and other
transportation ($0.3 billion).  

From December 2003 to December 2004, services imports
increased $2.0 billion.  The largest increases were in other
transportation ($0.8 billion), other private services ($0.6
billion), and passenger fares ($0.3 billion).


Goods and Services Moving Average 

For the three months ending in December, exports of goods
and services averaged $98.4 billion, while imports of goods and
services averaged $155.7 billion, resulting in an average trade
deficit of $57.3 billion.  For the three months ending in
November, the average trade deficit was $55.5 billion, reflecting
average exports of $97.6 billion and average imports of $153.0
billion.

Scheduled release dates through February 2006 are located on page 30

Selected Not Seasonally Adjusted Goods Details 

The December figures showed surpluses, in billions of
dollars, with Hong Kong $0.7 (for November $0.5),
Australia $0.5 ($0.5), Singapore $0.2 ($0.1), and Egypt
$0.1 ($0.1).  Deficits were recorded, in billions of dollars,
with China $14.3 ($16.6), the European Union (25) $10.3
($10.5), Japan $6.9 ($7.3), OPEC $5.8 ($6.9), Canada $4.9
($5.9), Mexico $3.4 ($3.9), Korea $1.3 ($2.3), Brazil $0.9
($0.8), and Taiwan $0.6 ($1.4).

Advanced technology products (ATP) exports were $18.0
billion in December and imports were $21.5 billion, resulting
in a deficit of $3.6 billion.  December exports were $1.7
billion more than the $16.3 billion in November, while
imports were $0.4 billion less than the $21.9 billion in
November.
                                  

Revisions
     
Goods carry-over in December was $0.4 billion (0.6
percent) for exports and $2.0 billion (1.6 percent) for
imports.  For November, revised export carry-over was
$0.1 billion (0.2 percent), revised down from $0.3 billion
(0.4 percent).  For November, revised import carry-over
was $0.2 billion (0.1 percent), revised down from $1.1
billion (0.8 percent).
          
The seasonally adjusted goods data for January through
November were also revised to align the seasonally adjusted
months with the annual totals.

Services exports for November were virtually unchanged
at $29.0 billion; downward revisions in travel and passenger
fares were mostly offset by an upward revision in other
transportation.  Services imports for November were revised
down $0.3 billion to $24.8 billion; the revision was mostly
accounted for by a downward revision in travel.


Annual Summary for 2004

                                  
Goods and Services

For 2004, exports of $1,146.1 billion and imports of
$1,763.9 billion resulted in a goods and services deficit
of $617.7 billion, $121.2 billion more than the 2003
deficit of $496.5 billion.  For goods, exports were
$807.6 billion and imports were $1,473.8 billion,
resulting in a goods deficit of $666.2 billion, $118.6
billion more than the 2003 deficit of $547.6 billion.  For
services, exports were $338.6 billion and imports were
$290.1 billion resulting in a services surplus of $48.5
billion, $2.6 billion less than the 2003 surplus of $51.0
billion.

The goods and services deficit in 2004 was $617.7
billion.  As a percentage of U.S. gross domestic product,
the goods and services deficit increased from 4.5 percent
in 2003 to 5.3 percent in 2004.
                                  
Goods

For 2004, exports of goods were up $94.5 billion
from 2003.  Increases occurred in capital goods ($37.5
billion); industrial supplies and materials ($30.5
billion); consumer goods ($12.9 billion); automotive
vehicles, parts, and engines ($7.5 billion); other goods
($4.5 billion); and foods, feeds, and beverages ($1.3
billion).

For 2004, imports of goods were up $213.1 billion
from 2003.  Increases occurred in industrial supplies
and materials ($98.6 billion); capital goods ($48.0
billion); consumer goods ($39.3 billion); automotive
vehicles, parts, and engines ($18.2 billion); foods, feeds,
and beverages ($6.3 billion); and other goods ($2.9
billion).
     

Services

For 2004, exports of services were $338.6 billion, up
$31.2 billion from 2003.  Increases occurred in
travel ($10.2 billion); other private services ($8.5
billion), which includes items such as business,
professional, and technical services, insurance services,
and financial services; other transportation ($5.5
billion), which includes freight and port services;
passenger fares ($3.1 billion); royalties and license fees
($2.9 billion); and transfers under U.S. military sales
contracts ($1.1 billion).  A decrease occurred in U.S.
Government miscellaneous services ($0.1 billion).

For 2004, imports of services were $290.1 billion, up
$33.8 billion from 2003.  Increases occurred in other
transportation ($8.9 billion); other private services ($8.5
billion); travel ($8.0 billion); direct defense expenditures
($3.2 billion); royalties and license fees ($2.6 billion);
passenger fares ($2.3 billion); and U.S. Government
miscellaneous services ($0.2 billion).

For detailed descriptions of the types of transactions
included in each of the services categories, see
"Information on Goods and Services" starting on page 26
of this release.    

Table of Contents

Seasonally Adjusted                                                
   
Exhibit 1   International Trade in Goods and Services. . . . . . . . . . . . . 4

Exhibit 2   U.S. International Trade in Goods and Services Three - month 
Moving Averages. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Exhibit 3   U.S. Services by Major Category--Exports . . . . . . . . . . . . . 6

Exhibit 4   U.S. Services by Major Category--Imports . . . . . . . . . . . . . 7

Exhibit 5   U.S. Trade in Goods. . . . . . . . . . . . . . . . . . . . . . . . 8

Exhibit 6   Exports and Imports of Goods by Principal End-Use Category . . . . 9

Exhibit 7   Exports of Goods by End-Use Category and Commodity . . . . . . . .10

Exhibit 8   Imports of Goods by End-Use Category and Commodity . . . . . . . .12

Exhibit 9  Exports, Imports, and Balance of Goods, Petroleum and
Non-Petroleum End-Use Category Totals. . . . . . . . . . . . . . . . . . . . .14

Exhibit 10 Real Exports and Imports of Goods by Principal End-Use
Category (2000 Chain-weighted dollars) . . . . . . . . . . . . . . . . . . . .15

Exhibit 11 Real Exports, Imports, and Balance of Goods, Petroleum and Non-
Petroleum End-Use Commodity Category Totals (2000 Chain-weighted dollars). . .16


Not Seasonally Adjusted

Exhibit 12  U.S. Trade in Goods. . . . . . . . . . . . . . . . . . . . . . . .17

Exhibit 13  Exports and Imports of Goods by Principal End-Use Category. . . . 18


Exhibit 14  Exports, Imports, and Balance of Goods by Selected  
Countries and Areas   . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Exhibit 15  Exports and Imports of Goods by Principal SITC Commodities. . . . 21

Exhibit 16  Exports, Imports, and Balance of Advanced Technology Products. . .23

Exhibit 17  Imports of Energy - Related Petroleum Products, 
Including Crude Oil. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24

Exhibit 18  Exports and Imports of Motor Vehicles and Parts By Selected 
Countries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

Information on Goods and Services. . . . . . . . . . . . . . . . . . . . . . .26


Notices

** Special Note on U.S. Exports to Canada**

On January 31, 2005, Statistics Canada announced that November 2004 imports were 
understated in its January 12, 2005 release. The U.S. Census Bureau and 
Statistics Canada cooperate in a data exchange program where Canadian import
transactions, collected by the Canadian Customs organization, are provided 
through Statistics Canada to the Census Bureau to derive U.S. exports to Canada.  
Statistics Canada recently notified the Census Bureau that a portion of Canadian 
import transactions for November 2004 were omitted in the data exchange resulting 
in an understatement of U.S. exports to Canada of approximately $1.4 billion. 
With this release, the November 2004 export statistics have been revised to 
include the omitted transactions.
                                                                   
 ** Country Grouping Changes**
                                                                 
With the release of the January 2005 statistics on March 11, 2005, exhibits 14 
and 14a of the U.S. International Trade in Goods and Services release and 
exhibits 6 and 6a of the FT-900 Supplement will be revised.  The primary 
modifications are to add lines to the exhibits for Europe, Africa, and individual 
countries that have accounted for increased trade activity in recent years.  In 
addition, lines pertaining to Western Europe, Eastern Europe, European Union (15), 
and the former Soviet Republics will be removed.  For examples of the revised 
exhibits, go to www.census.gov/foreign-trade/2005_examples.html.

**Update To Advanced Technology Product Group**

With the release of the January 2005 statistics on March 11, 2005, the advanced 
technology product group will be updated to reflect changes in the commodities 
designated as advanced technology.  A complete list of advanced technology product
codes is available at 
http://www.census.gov/foreign-trade/reference/glossary/a/atp.html. 

If you have any questions or comments about these notices, please call (301) 763-2311 or e-mail
ftd.data.dissemination@census.gov.

SOURCE: Report FT900 (CB-05-17, BEA-05-05), Bureau of the Census, Foreign
Trade Division, December 2004.  For more information, contact Nick Orsini
(301-763-6959) or Vanessa Ware (301-763-2311), Foreign Trade Division.