Long Term Perspective

Import growth accelerated between 2002 and 2004 even though the sharp drop in the foreign exchange value of the dollar increased the cost of imports. As the trade weighted dollar picked up steam, import demand moderated during most of 2005 through 2007 and turned negative late in 2008 and in 2009. Imports turned up on a month-ago basis in mid-2009, lessening the year-ago decline through the final quarter of 2009.  Year-ago imports turned positive in 2010 and remained so through 2011. However, imports turned negative on average in mid-2012 as businesses lowered expectations about demand for consumer goods, commodities, and business equipment.  Import growth on average was sluggish during most of 2013 and early 2014.

 

 

Short Term Perspective

After a sharp contraction during the worst of the past recession, imports generally posted healthy gains from mid-2009 through 2011. However, recently merchandise imports have been soft though oscillating.  Imports improved late in 2013 and oscillated in early 2014. For August, imports edged up 0.1 percent after increasing 0.7 percent in July.  Merchandise imports were up 3.8 percent year-on-year, compared to 4.0 percent in July.