• Trade deficit widens to $69.7 billion.

• A 25.2% drop in exports more than offsets the 14.3% decline in imports.

• All categories of exports and imports decreased in April.

The advance estimate of the U.S. trade deficit in goods grew to $69.67 billion in April from $64.98 in March (the March figures as well as the month-on-month and year-on-year comparisons below are based on revised data from the monthly International Trade Report; updated April figures will be released next week). The Action Economics Forecast Survey anticipated a $62.7 billion deficit.

Exports of goods plummeted 25.2% in April (-29.9% y/y), the largest month-on-month drop in since October 1971. All major categories of exports – which is the only data available in the Advance Trade report – fell, led by a record 65.9% collapse in motor vehicle exports (-70.8% y/y); data goes back to 1986. As we noted in our Industrial Production commentary, motor vehicle production plunged 71.7% in April and the auto sector utilized a record low 15.4% of its capacity. Capital goods, which vies with industrial supplies to be our largest export category fell 23.9% (-27.9% y/y). Industrial supplies were down 21.6% (-24.1% y/y), though it's not clear how much of that contraction reflected the collapse in oil prices.

Imports of goods fell 14.3% (-20.6% y/y) in April the fourth consecutive monthly decline. All categories were down, with auto imports plummeting 52.2% (-57.0% y/y). Imports of capital goods, which are an indicator of capital spending, fell 11.0% (-14.2%) while nonfood consumer goods, the second largest import category decreased 6.9% (-20.5% y/y).

The advance international trade data can be found in Haver's USECON database. The expectation figure is from the Action Economics Forecast Survey, which is in AS1REPNA.

Note: Current month is based on Advance Trade data; Previous months reflect revised data from International Trade release.