BTS reports U.S.-NAFTA trade down 8.1 percent in August

The Department of Transportation’s (BTS) reported this week that U.S. trade with its North America Free Trade Agreement partners Canada and Mexico in August dropped 8.1 percent annually to $92.4 billion.

BTS said that large declines in the value of NAFTA trade by pipeline and vessel in June were mainly due to the reduced unit price of mineral fuel shipments, as has been the case in recent months.

Truck commodities in August fell 1.8 percent while carrying 63.6 percent of U.S.-NAFTA freight and accounted for $29.7 billion, or 59.6 percent of the $49.8 billion in recorded imports and $29.1 billion, or 68.3 percent, of the recorded exports for the month.

Rail commodities were down 8.4 percent and is still the second highest mode by value, with 15.5 percent of U.S.-NAFTA freight. BTS said air was down 10.3 percent, and vessel freight values and pipeline freight were off 33.5 percent and 33.6 percent, respectively, due in large part to the lower unit price of mineral fuel shipments.

The value of U.S.-Canada freight totaled $48.0 billion in August 2015, down 13.6 percent from August 2014, as all modes of transportation carried less value of U.S.-Canada freight than a year earlier, said BRS. And lower mineral fuel prices contributed to a year-over-year decrease in the value of freight moved between the U.S. and Canada. Mineral fuels are a large share of freight carried by pipeline and vessel, which were down 35.1 percent and 40.2 percent respectively year-over-year.

BTS said that the value of U.S.-Mexico freight totaled $44.5 billion in August 2015, down 1.4 percent from August 2014, as two out of five transportation modes – rail and truck – carried more U.S.-Mexico freight than in August 2014. Year-over-year, the value of U.S.-Mexico rail freight rose 3.2 percent, the largest percentage increase of any mode. Freight carried by truck increased by 1.5 percent. Air freight was down 3.0 percent and pipeline freight declined 4.0 percent. Vessel freight decreased by 28.6 percent mainly due to lower mineral fuel prices.