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The U.S. trade deficit with China reached a record high in August.
The gap between what China buys from U.S. companies and what the Chinese
sell in the American market was $29 billion in August.
Thursday's report from the Commerce Department says the overall U.S. trade
deficit with the world (($45.6 billion)) was nearly unchanged during the
month.
The trade gap with China comes at a politically sensitive time when the
U.S. Senate has just passed a bill to impose tariffs on certain Chinese-made
goods unless Beijing stops its alleged manipulation of its currency. The tariff
bill would have to overcome opposition in the Republican-controlled House of
Representatives and be approved by the president before it could become law.
A weak Chinese currency gives Chinese goods a price advantage in the U.S.
market, and raises the cost of American-made products to Chinese consumers.
A separate report from the Labor Department says the number of Americans
signing up for unemployment compensation declined by 1,000 to a total of 404,000
last week. The U.S. unemployment rate, which is calculated from a separate
study, is a relatively high 9.1 percent. |
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