| The U.S. current-account deficit narrowed by $48.4 billion, or 20.2%, to $190.7 billion in Q4 2025, down from a revised $239.1 billion in Q3. The deficit fell to 2.4% of GDP from 3.1%, driven by a shift in primary income to a surplus and a smaller goods deficit.
Exports of goods, services, and income receipts rose $32.4 billion to $1.33 trillion, supported by higher goods exports and income earnings. Meanwhile, imports and income payments declined $16.0 billion to $1.52 trillion, reflecting lower goods imports and reduced income outflows.
Net financial-account transactions stood at –$135.9 billion, indicating continued U.S. borrowing from foreign investors. U.S. foreign assets increased by $405.0 billion, while liabilities rose by $532.0 billion during the quarter.
The U.S. net international investment position remained deeply negative at –$27.54 trillion, with total assets at $42.96 trillion and liabilities at $70.49 trillion.
For full-year 2025, the current-account deficit narrowed by $69.3 billion, or 5.8%, to $1.12 trillion, equivalent to 3.6% of GDP, down from 4.0% in 2024. Exports increased $276.2 billion to $5.15 trillion, while imports rose $206.9 billion to $6.26 trillion. |