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The UK trade deficit narrowed in May, as exports rose and imports were largely steady, numbers on Friday showed.
The Office for National Statistics said exports in May rose 1.2% on-month to £74.31 billion, while imports edged up 0.1% to £80.01 billion. The trade deficit amounted to £5.70 billion in May, narrowing from £6.50 billion in April.
The ONS said exports of goods to the US rose by £300 million in May, after a ‘substantial decrease’ in April. The ONS had reported in June that exports to the US fell by £2.0 billion in April.
‘This increase in exports was because of a rise in chemical exports, driven by increased exports of inorganic chemicals. The value of goods exports to the United States in May 2025 remained relatively low,’ the ONS said.
Imports of goods from the US fell by $900 million in May.
‘Fuel imports fell because of a decrease in imports of gas and crude oil, while imports of machinery and transport equipment fell because of lower imports of ships and aircraft,’ the ONS said.
Tariff cuts for the UK automotive and aerospace sectors came into force last month after Prime Minister Keir Starmer finalised parts of a deal for relief from US import taxes.
Car manufacturers exporting to the US will face a 10% tariff quota, down from 27.5%, while the aerospace sector will see a 10% levy removed entirely.
Starmer hailed the ‘historic trade deal’ with the US, clinched after President Donald Trump imposed the import taxes as part of his ‘liberation day’ tariffs on countries across the world.
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