UK’s trade deficit widens to $27.7B in February

Mucahithan Avcioglu

• Exports to US climb 11.3% in February, while imports drop 8.2%

The UK’s trade balance posted a deficit of £20.4 billion (about $27.7 billion) in February, up from the previous month, the Office for National Statistics (ONS) said Thursday.

The market had expected the monthly deficit to come in at £19.4 billion in February.

The country’s exports totaled £31.5 billion, down 1.5% month-on-month, while goods imports reached £51.9 billion, up 4.7%.

Exports to EU member states were at £15.4 billion, down 0.7% monthly, while imports came in at £27.1 billion, climbing 2.3%, resulting in a deficit of £11.7 billion.

The trade deficit to non-EU countries was £8.7 billion, with exports falling 2.3% to £16.1 billion and imports surging 7.5% to £24.8 billion.

Exports to the US climbed 11.3%, or by £500 million, in February, due to a £500 million rise in exports of machinery and transport equipment and a £200 million rise in exports of material manufactures (excluding precious metals).

“The value of goods exports to the United States has remained relatively low since the introduction of trade tariffs in April 2025,” ONS said in a statement.

Meanwhile, imports from the US dropped 8.2%, or £400 million, owing primarily to a £400 million decline in imports of machinery and transportation equipment because of lower aircraft imports.