• In 2025, the US trade deficit reached USD1,328 billion, up from USD1,295 billion in 2024.
• The US sustained lower trade deficit with China, Germany, Japan, Canada, South Korea, Switzerland, and Italy. However, it saw higher trade deficit with Mexico, Vietnam, Taiwan, Ireland, Thailand, India, Malaysia, and Indonesia.
• The heightened uncertainty surrounding tariffs, together with the widening trade deficit with Thailand, may prompt the US to intensify pressure in the ongoing trade deal negotiations.
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