U.S. international transactions: fourth quarter of 2013 and 2013.

Scott, Sarah P.

THE U.S. CURRENT-ACCOUNT deficit--a net measure of transactions between the United States and the rest of the world in goods, services, income, and unilateral current transfers--decreased to $81.1 billion (preliminary) in the fourth quarter from $96.4 billion (revised) in the third quarter (see chart 1 and pages 3-6). (1) The deficit decreased to 1.9 percent of current-dollar gross domestic product (GDP) from 2.3 percent in the third quarter. (2) The decrease in the current-account deficit reflected a decrease in the deficit on goods and services, an increase in the surplus on income, and a decrease in net outflows of unilateral current transfers. In 2013, the annual current-account deficit decreased to $379.3 billion from $440.4 billion in 2012 (see page 9). The 2013 deficit decreased to 2.3 percent of current-dollar GDP from 2.7 percent in 2012.

[GRAPHIC 1 OMITTED]

In the financial account, net financial inflows increased to $173.7 billion in the fourth quarter from $68.2 billion in the third (see pages 7-8). Net financial inflows were $351.2 billion in 2013, down from $439.4 billion in 2012 (see page 10). Net financial flows reflect combined transactions in U.S.-owned assets abroad, foreign-owned assets in the United States, and financial derivatives.

The statistical discrepancy--the amount that balances the sum of the recorded credits and debits across all the accounts in the international transactions accounts--was -$92.6 billion in the fourth quarter, compared with $28.3 billion in the third quarter. In 2013, the statistical discrepancy was $28.5 billion, compared with -$5.9 billion in 2012.

Fourth-Quarter Overview

Current-account highlights

* The deficit on the current-account decreased to its lowest level since the third quarter of 1999.

* The deficit on goods decreased after increasing in the third quarter. The decrease reflected a larger increase in goods exports than in goods imports.

* The surplus on services increased after decreasing in the third quarter. The increase reflected a larger increase in services exports than in services imports.

* The surplus on income rose for the third straight quarter. In the fourth quarter, income receipts increased more than income payments.

Financial-account highlights

* U.S.-owned assets abroad and foreign-owned assets in the United States both increased more than in the third quarter. Net financial inflows were up, as inflows of foreign-owned assets in the United States rose more than outflows of U.S.-owned assets abroad.

* The rise in outflows of U.S.-owned assets abroad reflected higher U.S. net purchases of foreign securities than in the third quarter.

* The fourth-quarter rise in inflows of foreign-owned assets in the United States reflected increases in U.S. liabilities reported by banks and brokers and in foreign net purchases of U.S. Treasury securities.

* Net outflows of financial derivatives were down from the third quarter.

Fourth-Quarter Current Account--Goods

Real exports grew more than real imports in the fourth quarter (table C). Both grew for a third straight quarter.

Exports of goods increased for the fourth straight quarter, increasing almost three times more than in the third quarter. More than half of the fourth-quarter increase in exports was in foods, feeds, and beverages.

Foods, feeds, and beverages increased for the second straight quarter. The fourth-quarter increase was mostly accounted for by an increase in soybean exports.

Industrial supplies and materials increased for the second straight quarter. The fourth-quarter increase was more than accounted for by an increase in exports of petroleum and products. Exports of nonpetroleum products, especially nonferrous metals, fell.

Capital goods increased after decreasing in the third quarter. The largest increase was in industrial, agricultural, and service machinery, n.e.c., mainly machinery for manufacturing semiconductor devices. The largest decrease was in civilian aircraft, engines, and parts, mostly in completed aircraft.

Automotive vehicles, parts, and engines decreased after increasing three straight quarters. The decrease reflected a decrease in trucks, buses, and special purpose vehicles.

Exports of consumer goods increased after decreasing in the third quarter. The increase was more than accounted for by an increase in exports of durable goods. The largest increase in durable goods was in gems, jewelry, and collectables.

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Imports of goods increased for the third straight quarter, though less in the fourth quarter than in the third quarter. The largest increases in the fourth quarter were in capital goods and in consumer goods. The largest decrease was in industrial supplies and materials.

Imports of foods, feeds, and beverages increased after decreasing in the third quarter. The largest increase was in fish and shellfish.

Industrial supplies and materials decreased after increasing in the third quarter. The decrease was mostly accounted for by decreased imports of petroleum and products.

Capital goods imports increased for the third straight quarter, and each quarterly increase was larger than the previous increase. The largest fourth-quarter increases were in imports of computers, peripherals, and parts and imports of civilian aircraft, engines, and parts.

Imports of automotive vehicles, parts, and engines decreased after increasing for two straight quarters. Decreases in trucks, buses, and special purpose vehicles and in passenger cars were mostly offset by an increase in engines, parts, and accessories.

Consumer goods imports increased after decreasing in the third quarter. Most of the increase was in imports of durable goods, where the largest increase was in household appliances and other household goods. Imports of nondurable goods also increased; the largest increase was in apparel, footwear, and household goods.

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Fourth-Quarter Current Account--Services

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Exports of services increased for the fifth straight quarter. The largest fourth-quarter increase was in "other" private services.

Travel exports--purchases of goods and services by foreign travelers in the United States--increased for the eighth straight quarter.

Passenger fares increased after decreasing in the third quarter.

"Other" transportation exports increased after decreasing two straight quarters. Both port services and freight services increased.

Imports of services increased for the third straight quarter. The largest fourth-quarter increases were in passenger fares and in travel.

Travel imports--purchases of goods and services by U.S. travelers abroad--increased more in the fourth quarter than in any of the previous three quarters.

Passenger fares increased after decreasing in the third quarter.

"Other" transportation imports increased for the eighth straight quarter, but the fourth-quarter increase was smaller than the increases in any of the previous seven quarters. The fourth-quarter increase was the result of an increase in port services and a nearly offsetting decrease in freight services.

Fourth-Quarter Current Account--Income

Income receipts on U.S. direct investment abroad increased more than the increases in the previous two quarters. The fourth-quarter increase was mainly accounted for by higher foreign affiliate earnings in several industries, led by holding companies.

"Other" private income receipts increased for the fifth straight quarter. The fourth-quarter increase reflected higher income on U.S. holdings of foreign securities.

U.S. government receipts increased slightly after decreasing in each of the previous two quarters.

Income payments on foreign direct investment in the United States increased after decreasing in each of the the previous two quarters. By industry, U.S. affiliate earnings rose the most in manufacturing, primarily among affiliates producing consumer goods.

"Other" private income payments increased for the fifth straight quarter. The fourth-quarter increase reflected higher interest income on foreign holdings of U.S. corporate bonds that was partly offset by lower dividend income on foreign holdings of U.S. stocks.

U.S. government payments increased for the first time since the third quarter of 2011. The increase was primarily due to higher foreign holdings of U.S. marketable Treasury bonds.

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Fourth-Quarter Financial Account--U.S.-Owned Assets Abroad

U.S. official reserve assets abroad decreased for the third straight quarter. The fourth-quarter decrease was the largest since the fourth quarter of 2005 and was more than accounted for by a decrease in the U.S. reserve position in the International Monetary Fund.

U.S. government assets abroad other than official reserve assets increased more than in the third quarter. The increase reflected an increase in U.S. government credit to foreigners that was partly offset by a decrease in central bank liquidity swaps between the U.S. Federal Reserve System and foreign central banks.

U.S. direct investment abroad was lower than in the third quarter, reflecting a shift to net inflows of equity investment from net outflows in the third quarter. This shift was partly offset by lower fourth-quarter net inflows of intercompany debt and higher reinvested earnings.

U.S. net purchases of foreign securities--purchases in excess of sales--were higher than those in the third quarter. The fourth-quarter increase reflected an increase in net purchases of foreign bonds to a record level. Net purchases of foreign stocks also increased.

U.S. claims on foreigners reported by nonbanks decreased after increasing in the third quarter. The decrease was more than accounted for by a shift to a decrease in deposit claims.

U.S. claims on foreigners reported by U.S. banks and securities brokers--such as U.S. residents' deposits at foreign banks and loans to foreigners--decreased less than in the third quarter. Claims on own accounts increased less than in the third quarter. Claims on customer accounts decreased more than in the third quarter.

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Fourth-Quarter Financial Account--Foreign-Owned Assets in the United States

Foreign official assets in the United States increased more than in the third quarter. The fourth-quarter increase was more than accounted for by net purchases of U.S. Treasury securities.

Foreign direct investment in the United States was higher than in the third quarter. The fourth-quarter increase was more than accounted for by higher reinvested earnings. In addition, intercompany debt investment shifted to net inflows from third-quarter net outflows. These changes were partly offset by lower net equity investment.

Foreign private net purchases of U.S. Treasury securities--purchases in excess of sales--increased to a record level in the fourth quarter. The increase reflected a shift to net purchases of U.S. Treasury bills and certificates.

Transactions in other U.S. securities shifted to net sales--sales in excess of purchases--from net purchases. The shift reflected a shift to net sales of U.S. stocks and agency bonds from net purchases and a decrease in net purchases of corporate bonds.

U.S. liabilities to foreigners reported by nonbanks decreased less than in the third quarter. The smaller fourth-quarter decrease reflected a shift to an increase from a decrease in "other" financial liabilities, such as loan liabilities to foreigners.

U.S. liabilities to foreigners reported by U.S. banks and securities brokers increased after decreasing in the third quarter. The shift was largely accounted for by a shift to an increase in liabilities for own accounts, mostly in foreign-owned bank deposits and repurchase agreements with affiliated banks abroad.

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Current and Capital Accounts in 2013

Exports of goods increased in 2013 for the fourth straight year after falling in 2009; each increase since 2009 has been progressively smaller. Exports increased in five of the six major end-use categories in 2013. Each of the largest four increases were in the neighborhood of $6 billion-$7 billion.

Exports of services increased for the fourth straight year. The largest increases in 2013 were in travel and "other" private services. The increase in "other" private services reflected increases in financial services and in business, professional, and technical services.

Income receipts increased for the fourth straight year. The 2013 increase was more than accounted for by an increase in other private receipts, which reflected increases in receipts of both interest and dividends on U.S. holdings of foreign securities.

Goods imports decreased in 2013 after increasing for three straight years, despite 2013 increases in five of the six major end-use categories. A decrease in industrial supplies and materials--mostly due to a decrease in imports of petroleum and products--was larger than the combined increase in the other five categories. The largest increases were in imports of consumer goods and imports of automotive vehicles, parts, and engines.

Services imports increased for the fourth straight year. The largest 2013 increases were in "other" transportation, travel, and "other" private services. The increase in "other" transportation was primarily in freight services. The increase in "other" private services was more than accounted for by an increase in business, professional, and technical services.

Income payments increased less in 2013 than in any of the previous 3 years. The 2013 increase was more than accounted for by an increase in "other" private payments, which reflected increases in both dividends and interest on foreign private holdings of U.S. corporate securities. U.S. government payments and direct investment payments decreased.

Net capital account transactions shifted to net outflows from larger net inflows in 2012. The net inflows in 2012 reflected receipts from foreign insurance companies for losses recovered resulting from Superstorm Sandy.

The U.S. current-account deficit decreased for the second straight year. The 2013 decrease was considerably larger than the 2012 decrease. In 2013, a decrease in the deficit on goods and increases on the surpluses on services and income more than offset an increase in net outflows of unilateral current transfers. The deficit decreased to 2.3 percent of current-dollar GDP in 2013 from 2.7 percent in 2012.

Financial Account and Statistical Discrepancy in 2013

U.S. official reserve assets decreased after increasing in 2012. The decrease reflected a decrease in the U.S. reserve position at the International Monetary Fund.

U.S. government assets other than official reserve assets decreased less than in 2012. The smaller decrease reflected a slowdown in the reversals of central bank liquidity swaps that were initiated in 2011. Most of these currency swaps were reversed in 2012, leaving a smaller amount to be reversed in 2013.

U.S. direct investment abroad was lower than in the previous 2 years. The 2013 decrease reflected a shift to net inflows of intercompany debt investment from net outflows in 2012 and lower equity investment. These changes were partly offset by an increase in reinvested earnings.

U.S. purchases of foreign securities exceeded sales for the fifth straight year and by a record amount in 2013. The 2013 net purchases reflected a record level of U.S. net purchases of foreign stocks and the highest level of net purchases of foreign bonds since 2009.

U.S. claims on foreigners reported by U.S. banks and securities brokers decreased less than in 2012. The smaller decrease was mostly accounted for by a smaller decrease in foreign deposits of U.S.-owned banks than in 2012, especially with affiliated institutions in the Caribbean.

Foreign official assets in the United States increased less than in 2012. The slowdown reflected lower net purchases of U.S. Treasury securities.

Foreign direct investment in the United States increased after decreasing in 2012. The increase was more than accounted for by an increase in equity investment, which was partly offset by a shift to net outflows of intercompany debt investment and a decrease in reinvested earnings.

Purchases of U.S. Treasury securities by private foreigners exceeded sales by more than in the 2 previous years. The 2013 increase in net purchases reflected larger net purchases of Treasury bonds and notes.

Purchases of other U.S. securities by private foreigners exceeded sales by less than in 2012. The slowdown in net purchases reflected a shift to net sales of U.S. stocks and agency bonds that was partly offset by a shift to net purchases of U.S. corporate bonds.

U.S. liabilities to foreigners reported by U.S. banks and securities brokers increased after decreasing in 2012. The shift was more than accounted for by a shift to an increase from a decrease in liabilities for own accounts.

Comprehensive Restructuring of the U.S. International Economic Accounts

On June 18, 2014, BEA will introduce a new presentation of the international transactions accounts as part of a comprehensive restructuring of BEA's international economic accounts. This change in presentation will enhance the quality and usefulness of the accounts for customers and bring the statistics into closer alignment with international guidelines.

For additional information, see Maria Borga and Kristy L. Howell, "The Comprehensive Restructuring of the International Economic Accounts: Changes in Definitions, Classifications, and Presentations," Survey of Current Business 94 (March 2014). Table templates for the restructured presentation and information on the earliest quarter and year for which statistics will be available in each table are available on BEA's Web site at www.bea.gov under International.

Comprehensive Restructuring--Sign Convention

The new presentation to be introduced on June 18, 2014 will eliminate the balance of payments sign convention that uses negative signs for debit entries. The new presentation will use positive signs to show exports and imports, income receipts and payments, transfers made and received, and increases in assets and in liabilities. Negative signs will specify negative income (losses) and decreases in assets or in liabilities (for example, the sale of an asset). Current-account and capital-account balances will indicate the difference between underlying gross credit and debit flows (for example, exports less imports). For the financial account, net lending or net borrowing will be calculated as the difference between the net acquisition of assets and the net incurrence of liabilities. For additional information, see Borga and How ell, 5.

Revisions

The preliminary statistics for U.S. international transactions for the third quarter that were published in the January 2014 Survey of Current BUSINESS have been revised to reflect new or revised source data.

Preliminary and Revised Third-Quarter 2013 Statistics
[Millions of dollars, seasonally adjusted]

 Preliminary Revised

Balance on goods -178,630 -178,401
Balance on services 57,892 56,860
Balance on income 59,998 59,136
Unilateral current transfers, net -34,100 -33,960
Balance on current account -94,840 -96,365
Net financial flows 67,290 68,198

Trends in the Trade in Goods

The deficit on goods has decreased $21.8 billion, or 11 percent, after a recent high in the first quarter of 2012. Exports rose in six of the last eight quarters, and imports rose in five (chart 2). Exports accounted for most of the narrowing in the deficit during the 2-year period, as exports grew 4.6 percent and imports dropped 0.7 percent. The goods deficit decreased to 4.0 percent of current-dollar GDP in the fourth quarter from 4.2 percent in the third quarter.

Goods Deficit by Area and Type of Product

The goods deficit decreased $6.6 billion in the fourth quarter after increasing in the third quarter. The decrease was the third in the past four quarters. The fourth-quarter decrease was more than accounted for by a decrease in the deficit with Asia and Pacific, largely reflecting a decrease in the deficit with China. The deficit with Africa also decreased. In contrast, deficits increased with Europe, Canada, Latin America and Other Western Hemisphere, and the Middle East.

Petroleum and products. The deficit on petroleum and products decreased for the third straight quarter (chart 3). In the fourth quarter, imports of petroleum and products decreased, while exports increased. The fourth-quarter deficit was the lowest deficit since the second quarter of 2009 and was $35.9 billion lower than the recent high in the second quarter of 2011.

Trends in the Trade in Services

The surplus on services increased to $57.9 billion in the fourth quarter from $56.9 billion in the third quarter. The surplus increased after decreasing in the third quarter and after increasing in the previous three quarters. Both services exports and imports grew more in the fourth quarter than in the third quarter, but less than in the second quarter. Services imports increased in three of the last four quarters and exports increased in all of the last four quarters (chart 4).

The services surplus increased to 1.4 percent of current-dollar GDP in the fourth quarter from 1.3 percent in the third quarter. The services surplus was 1.4 percent of current-dollar GDP in three of the last four quarters, which is the highest percentage on record.

Trends in Income

The surplus on income increased to $64.4 billion--a record high--in the fourth quarter from $59.1 billion in the third quarter. The surplus increased for the third straight quarter after decreasing in the first quarter of 2013. The surplus was 1.5 percent of current-dollar GDP in the fourth quarter of 2013, compared with 1.4 percent in the third quarter, 1.3 percent in the second quarter, and 1.2 percent in the first quarter.

Income receipts on U.S.-owned assets abroad increased for three straight quarters (chart 5). The fourth-quarter increase was larger than the increases in the previous two quarters, reflecting a larger increase in direct investment receipts.

Income payments on foreign-owned assets in the United States increased to a 5-year high in the fourth quarter after edging down in the previous two quarters. The increase was primarily accounted for by an increase in direct investment payments.

Developments in the Financial Account

U.S.-owned assets abroad increased for the sixth straight quarter. The fourth-quarter increase was larger than the third-quarter increase, reflecting greater U.S. net purchases of foreign securities than in the third quarter (table G). In addition, U.S. claims reported by U.S. banks and securities brokers decreased less than in the third quarter. These changes were partly offset by a shift to a decrease in U.S. claims reported by nonbanking concerns and a decrease in outflows of U.S. direct investment abroad.

Foreign-owned assets in the United States also increased for the sixth straight quarter, by a larger amount than in each of the previous five quarters (table H). The larger fourth-quarter increase was more than accounted for by a shift to an increase in U.S. liabilities reported by banks and brokers. In addition, U.S. liabilities to unaffiliated foreigners reported by nonbanks decreased less, and foreign official assets in the United States increased more, than in the third quarter. Foreign private net purchases of U.S. Treasury securities increased. These changes were partly offset by a shift to foreign private net sales of U.S. securities other than U.S. Treasury securities in the fourth quarter from third-quarter net purchases.

Data Availability and Methodology

Detailed statistics for U.S. international transactions are presented in tables 1-12 in this article. The statistics and a description of the estimation methods used to compile them are available at www.bea.gov under "International." For the statistics, click on "Interactive Tables: Detailed estimates." For the methods, see "U.S. International Transactions Accounts: Concepts and Estimation Methods" under "Methodologies."

(1.) Quarterly statistics are seasonally adjusted when series demonstrate statistically significant seasonal patterns; seasonally adjusted statistics are cited in this article when available.

(2.) Current-dollar GDP is used to provide a consistently scaled comparison across time. In this context, its use does not imply that these international transactions accounts statistics are components of GDP.

Table A. U.S. International Transactions
[Millions of dollars, seasonally adjusted]

 2013

 (Credits +; debits -) I (r) II (r) III (r)

 Current account
Exports of goods and services
 and income receipts 749,188 759,884 766,204
 Goods, balance of payments basis 391,293 395,241 397,775
 Services 167,135 170,032 170,864
 Income receipts 190,760 194,611 197,565
Imports of goods and services
 and income payments -821,093 -822,150 -828,609
 Goods, balance of payments basis -569,991 -570,219 -576,176
 Services -110,394 -112,503 -114,004
 Income payments -140,707 -139,427 -138,429
Unilateral current transfers, net -33,140 -34,484 -33,960
 U.S. government grants -11,061 -11,361 -12,293
 U.S. government pensions
 and other transfers -756 -1,619 -984
 Private remittances
 and other transfers -21,323 -21,505 -20,684

 Capital account
Capital account transactions, net -40 -227 -146

 Financial account
U.S.-owned assets abroad
 (increase/financial
 outflow (-)) (1) -228,214 -105,353 -70,825
 U.S. official reserve assets. -876 191 1,001
 U.S. government assets, other
 than official reserve assets -446 3,115 -142
 U.S. private assets -226,892 -108,659 -71,684

Foreign-owned assets in the
 United States (increase/
 financial inflow (+)) (1) 266,887 168,563 145,592
 Foreign official assets in the
 United States 126,871 -6,577 66,070
 Other foreign assets in the
 United States 140,016 175,140 79,522

Financial derivatives, net 3,948 3,511 -6,569

Statistical discrepancy
 (sum of the bold lines
 above with sign reversed) 62,464 30,256 28,313

Memoranda:
Balance on goods -178,698 -174,978 -178,401
Balance on services 56,740 57,529 56,860
Balance on goods and services -121,958 -117,449 -121,541
Balance on income 50,053 55,183 59,136
Unilateral current transfers, net -33,140 -34,484 -33,960
Balance on current account -105,045 -96,750 -96,365
Net financial flows (4) 42,621 66,721 68,198

 2013 Change
 2013:III to
 (Credits +; debits -) IV (p) 2013:IV

 Current account
Exports of goods and services
 and income receipts 785,176 18,972
 Goods, balance of payments basis 405,356 7,581
 Services 173,690 2,826
 Income receipts 206,129 8,564
Imports of goods and services
 and income payments -834,698 -6,089
 Goods, balance of payments basis -577,189 -1,013
 Services -115,773 -1,769
 Income payments -141,737 -3,308
Unilateral current transfers, net -31,595 2,365
 U.S. government grants -10,853 1,440
 U.S. government pensions
 and other transfers 767 1,751
 Private remittances
 and other transfers -21,508 -824

 Capital account
Capital account transactions, net n.a. n.a.

 Financial account
U.S.-owned assets abroad
 (increase/financial
 outflow (-)) (1) -148,591 -77,766
 U.S. official reserve assets. 2,782 1,781
 U.S. government assets, other
 than official reserve assets -553 -411
 U.S. private assets -150,820 -79,136

Foreign-owned assets in the
 United States (increase/
 financial inflow (+)) (1) 325,025 179,433
 Foreign official assets in the
 United States 97,380 31,310
 Other foreign assets in the
 United States 227,645 148,123

Financial derivatives, net -2,740 3,829

Statistical discrepancy
 (sum of the bold lines
 above with sign reversed) (2) -92,577 (3) -120,890

Memoranda:
Balance on goods -171,833 6,568
Balance on services 57,917 1,057
Balance on goods and services -113,915 7,626
Balance on income 64,393 5,257
Unilateral current transfers, net -31,595 2,365
Balance on current account -81,118 15,247
Net financial flows (4) 173,694 105,496

(p) Preliminary

(r) Revised

n.a. Not available

(1.) Excludes transactions in financial derivatives.

(2.) Excludes capital account transactions.

(3.) Change from prior period, not the sum of changes in components
with sign reversed.

(4.) Sum of U.S.-owned assets abroad, foreign-owned assets in the
United States, and financial derivatives. Note. The statistics,
except for net financial flows, are presented in table 1 in this
article and on BEA's Web site.

Table B. Goods Exports
[Millions of dollars, seasonally adjusted]

 2013

 I (r) II (r) III (r)

 Exports, balance of payments basis 391,293 395,241 397,775
 Agricultural products 37,083 34,041 36,239
 Nonagricultural products 354,210 361,200 361,536

Foods, feeds, and beverages 34,075 30,849 33,269
 Grains and preparations 7,685 6,841 7,630
 Soybeans 6,097 3,729 4,459
 Other 20,293 20,279 21,180

Industrial supplies and materials 130,949 128,822 132,097
 Petroleum and products 34,158 35,657 40,629
 Nonpetroleum products 96,791 93,165 91,468
 Chemicals, excluding medicinals 30,667 29,943 30,051
 Metals and nonmetallic products 33,767 30,774 29,350
 Steelmaking materials 3,305 2,276 2,368
 Nonferrous metals 19,261 17,326 15,714
 Other 11,201 11,172 11,268
 Other 32,357 32,448 32,067

Capital goods, except automotive 130,828 134,896 134,156
 Electric generating machinery,
 apparatus, and parts 13,672 13,544 13,450
 Oil drilling, mining,
 and construction machinery 8,685 8,130 7,404
 Industrial engines, pumps,
 and compressors 7,015 7,279 7,458
 Industrial, agricultural,
 and service machinery, n.e.c. 31,798 32,479 31,427
 Computers, peripherals, and parts 12,100 12,083 11,907
 Semiconductors 10,423 10,721 10,863
 Telecommunications equipment 9,788 10,163 9,699
 Civilian aircraft, engines, and parts 23,916 26,872 28,297
 Other 13,431 13,625 13,651

Automotive vehicles, parts, and engines 36,648 38,423 38,725
 Passenger cars 13,710 14,359 14,053
 Trucks, buses, and special purpose
 vehicles 5,203 5,359 5,292
 Engines, parts, and accessories 17,734 18,705 19,380

Consumer goods, except automotive 45,637 49,011 46,273
 Nondurable goods 20,746 21,428 20,962
 Medicinal, dental,
 and pharmaceutical products 11,935 12,541 12,046
 Other 8,811 8,887 8,916
 Durable goods 24,890 27,582 25,310
 Gems, jewelry, and collectibles 4,496 6,283 4,497
 Other 20,394 21,299 20,813

Other exports 13,156 13,241 13,255

 Change
 2013 2013:III
 to
 IV (p) 2013:IV

 Exports, balance of payments basis 405,356 7,581
 Agricultural products 40,715 4,476
 Nonagricultural products 364,641 3,105

Foods, feeds, and beverages 37,750 4,481
 Grains and preparations 8,127 497
 Soybeans 8,601 4,142
 Other 21,022 -158

Industrial supplies and materials 133,444 1,347
 Petroleum and products 43,658 3,029
 Nonpetroleum products 89,786 -1,682
 Chemicals, excluding medicinals 30,089 38
 Metals and nonmetallic products 27,631 -1,719
 Steelmaking materials 2,726 358
 Nonferrous metals 13,390 -2,324
 Other 11,515 247
 Other 32,066 -1

Capital goods, except automotive 134,582 426
 Electric generating machinery,
 apparatus, and parts 13,652 202
 Oil drilling, mining,
 and construction machinery 7,580 176
 Industrial engines, pumps,
 and compressors 7,447 -11
 Industrial, agricultural,
 and service machinery, n.e.c. 32,706 1,279
 Computers, peripherals, and parts 11,963 56
 Semiconductors 10,920 57
 Telecommunications equipment 10,062 363
 Civilian aircraft, engines, and parts 26,462 -1,835
 Other 13,790 139

Automotive vehicles, parts, and engines 38,312 -413
 Passenger cars 13,986 -67
 Trucks, buses, and special purpose
 vehicles 4,882 -410
 Engines, parts, and accessories 19,444 64

Consumer goods, except automotive 47,598 1,325
 Nondurable goods 20,582 -380
 Medicinal, dental,
 and pharmaceutical products 11,416 -630
 Other 9,166 250
 Durable goods 27,016 1,706
 Gems, jewelry, and collectibles 5,444 947
 Other 21,572 759

Other exports 13,671 416

(p) Preliminary

(r) Revised

n.e.c. Not elsewhere classified

Note. The statistics are presented in table 2 after
this article and on BEA's Web site.

Table C. Growth in Real Goods Exports and Imports
[Percent change from preceding period in chained-dollar
exports and imports, seasonally adjusted]

 2012 2013

 III IV I (r) II (r)

Exports, balance of payments basis -0.1 -0.6 0.0 2.2
Imports, balance of payments basis 0.1 -0.7 -0.6 1.6

 2013

 III (p) IV (p)

Exports, balance of payments basis 0.5 2.0
Imports, balance of payments basis 0.9 0.3

(p) Preliminary (r) Revised

Note. Real goods exports and imports are calculated using price
indexes from "Table 4.2.4. Indexes for Exports and Imports of Goods
and Services by Type of Product" of the national income and product
accounts.

Table D. Goods Imports
[Millions of dollars, seasonally adjusted]

 2013

 I (r) II (r) III (r)

 Imports, balance of payments basis 569,991 570,219 576,176
 Petroleum and products 101,004 93,708 98,190
 Nonpetroleum products 468,987 476,511 477,986
Foods, feeds, and beverages 28,690 29,241 28,992

Industrial supplies and materials 181,783 173,213 175,802
 Petroleum and products 101,004 93,708 98,190
 Nonpetroleum products 80,779 79,505 77,612
 Natural gas 3,175 3,396 2,931
 Chemicals, excluding medicinals 19,974 19,360 18,658
 Building materials, except metals 6,379 6,450 6,336
 Metals and nonmetallic products 31,483 29,685 28,885
 Iron and steel products 9,253 8,990 9,110
 Nonferrous metals 15,028 13,645 12,715
 Other 7,202 7,050 7,060
 Other 19,768 20,614 20,802

Capital goods, except automotive 137,090 137,316 139,633
 Electric generating machinery,
 apparatus, and parts 16,552 16,630 16,803
 Oil drilling, mining, and
 construction machinery 5,885 5,632 5,409
 Industrial engines, pumps, and
 compressors 5,303 5,434 5,602
 Industrial, agricultural, and
 service machinery, n.e.c. 33,025 33,200 33,605
 Computers, peripherals, and parts 30,053 29,089 30,119
 Semiconductors 9,766 10,527 10,944
 Telecommunications equipment 13,694 13,684 13,745
 Scientific, hospital, and medical
 equipment 9,443 9,494 9,422
 Civilian aircraft, engines,
 and parts 11,024 11,178 11,488
 Other 2,345 2,448 2,496

Automotive vehicles, parts, and engines 72,909 76,931 79,996
 Passenger cars 35,987 38,552 39,184
 Trucks, buses, and special purpose
 vehicles 5,533 6,007 7,623
 Engines, parts, and accessories 31,390 32,372 33,188

Consumer goods, except automotive 131,756 134,426 133,715
 Nondurable goods 61,473 61,123 60,929
 Apparel, footwear, and household
 goods 33,340 32,485 32,577
 Medicinal, dental, and
 pharmaceutical products 21,026 21,412 21,005
 Other 7,107 7,226 7,347
 Durable goods 70,284 73,303 72,786
 Televisions and other video
 equipment 7,991 7,228 6,850
 Toys and sporting goods,
 including bicycles 9,558 8,446 8,915
 Household appliances and other
 household goods 35,562 39,600 38,980
 Other 17,173 18,029 18,041
Other imports and U.S. goods returned 17,763 19,091 18,038

 Change
 2013 2013:III
 to
 IV (p) 2013:IV

 Imports, balance of payments basis 577,189 1,013
 Petroleum and products 94,347 -3,843
 Nonpetroleum products 482,841 4,855
Foods, feeds, and beverages 29,097 105

Industrial supplies and materials 171,709 -4,093
 Petroleum and products 94,347 -3,843
 Nonpetroleum products 77,362 -250
 Natural gas 2,578 -353
 Chemicals, excluding medicinals 18,698 40
 Building materials, except metals 6,673 337
 Metals and nonmetallic products 28,747 -138
 Iron and steel products 9,490 380
 Nonferrous metals 12,063 -652
 Other 7,194 134
 Other 20,666 -136

Capital goods, except automotive 143,232 3,599
 Electric generating machinery,
 apparatus, and parts 17,067 264
 Oil drilling, mining, and
 construction machinery 5,489 80
 Industrial engines, pumps, and
 compressors 5,767 165
 Industrial, agricultural, and
 service machinery, n.e.c. 34,123 518
 Computers, peripherals, and parts 31,929 1,810
 Semiconductors 10,451 -493
 Telecommunications equipment 13,301 -444
 Scientific, hospital, and medical
 equipment 9,533 111
 Civilian aircraft, engines,
 and parts 12,880 1,392
 Other 2,692 196

Automotive vehicles, parts, and engines 79,819 -177
 Passenger cars 39,097 -87
 Trucks, buses, and special purpose
 vehicles 7,047 -576
 Engines, parts, and accessories 33,675 487

Consumer goods, except automotive 135,943 2,228
 Nondurable goods 61,309 380
 Apparel, footwear, and household
 goods 33,408 831
 Medicinal, dental, and
 pharmaceutical products 20,618 -387
 Other 7,283 -64
 Durable goods 74,634 1,848
 Televisions and other video
 equipment 6,704 -146
 Toys and sporting goods,
 including bicycles 9,374 459
 Household appliances and other
 household goods 40,045 1,065
 Other 18,511 470
Other imports and U.S. goods returned 17,389 -649

(p) Preliminary

(r) Revised

n.e.c. Not elsewhere classified

Note. The statistics are presented in table 2 in this article
and on BEA's Web site.

Table E. Services Exports and Imports
[Millions of dollars, seasonally adjusted]

 2013

 I (r) II (r) III (r)

 Services exports 167,135 170,032 170,864

Travel 33,903 34,624 35,156
Passenger fares 10,218 10,300 10,170
Other transportation 11,499 11,379 11,068
 Freight 5,696 5,686 5,437
 Port services 5,803 5,693 5,631
Royalties and license fees 31,645 32,235 32,620
Other private services 74,340 75,980 76,551
 Education 6,425 6,530 6,660
 Financial services 19,733 20,566 20,164
 Insurance services 3,825 3,797 3,838
 Telecommunications 3,517 3,559 3,491
 Business, professional,
 and technical services 38,273 38,891 39,714
 Other services 2,566 2,636 2,685
Transfers under U.S. military agency
 sales contracts 4,870 4,797 4,591
U.S. government miscellaneous services 659 717 708

 Services imports 110,394 112,503 114,004

Travel 21,100 21,509 21,525
Passenger fares 9,108 9,211 9,155
Other transportation 14,420 14,639 14,807
 Freight 10,974 11,156 11,325
 Port services 3,446 3,483 3,482
Royalties and license fees 10,445 10,240 10,208
Other private services 48,966 50,491 52,105
 Education 1,566 1,593 1,610
 Financial services 4,317 4,645 4,476
 Insurance services 12,435 12,505 12,851
 Telecommunications 1,870 1,993 1,877
 Business, professional,
 and technical services 28,407 29,384 30,916
 Other services 371 372 373
Direct defense expenditures 5,696 5,699 5,520
U.S. government miscellaneous services 659 714 685

 Change
 2013 2013:III
 to
 IV (p) 2013:IV

 Services exports 173,690 2,826

Travel 35,886 730
Passenger fares 10,457 287
Other transportation 11,468 400
 Freight 5,608 171
 Port services 5,860 229
Royalties and license fees 32,831 211
Other private services 77,569 1,018
 Education 6,742 82
 Financial services 20,807 643
 Insurance services 3,851 13
 Telecommunications 3,516 25
 Business, professional,
 and technical services 40,005 291
 Other services 2,648 -37
Transfers under U.S. military agency
 sales contracts 4,719 128
U.S. government miscellaneous services 761 53

 Services imports 115,773 1,769

Travel 22,109 584
Passenger fares 9,870 715
Other transportation 14,813 6
 Freight 11,285 -40
 Port services 3,528 46
Royalties and license fees 10,398 190
Other private services 52,411 306
 Education 1,624 14
 Financial services 4,589 113
 Insurance services 12,799 -52
 Telecommunications 1,893 16
 Business, professional,
 and technical services 31,138 222
 Other services 369 -4
Direct defense expenditures 5,398 -122
U.S. government miscellaneous services 774 89

(p) Preliminary

(r) Revised

Note. The statistics are presented in tables 1 and 3 after this
article and on BEA's Web site. For additional information on
services, including definitions, see Alexis Grimm and Charu Sharma,
U.S. International Services: Cross-Border Trade in 2012 and Services
Supplied Through Affiliates in 2011, Survey of Current Business 93
(October 2013); 25-66.

Table F. Income Receipts and Payments
[Millions of dollars, seasonally adjusted]

 2013

 I (r) II (r) III (r)

 Income receipts 190,760 194,611 197,565

Income on U.S.-owned assets abroad 189,118 192,958 195,905
 Direct investment receipts 112,940 115,129 117,361
 Earnings 111,023 113,127 115,415
 Interest 1,917 2,002 1,946
 Other private receipts 75,704 77,418 78,244
 Income on foreign securities 68,056 70,053 71,070
 Dividends 42,180 43,426 44,959
 Interest 25,876 26,628 26,110
 Interest on claims reported 4,456 4,250 3,916
 by banks and brokers
 For own claims 4,009 3,834 3,548
 For customers' claims 447 416 368
 Interest on claims reported
 by nonbanking concerns 3,193 3,115 3,259
 U.S. government receipts 474 411 300
Compensation of employees 1,642 1,653 1,660

 Income payments 140,707 139,427 138,429

Income on foreign-owned assets 137,037 135,577 134,561
 in the United States
 Direct investment payments 44,596 43,275 42,017
 Earnings 38,363 37,273 36,413
 Interest 6,232 6,001 5,603
 Other private payments 61,403 62,083 62,387
 Income on U.S. corporate securities 57,060 58,067 58,637
 Dividends 26,979 27,400 27,956
 Interest 30,081 30,667 30,681
 Interest on liabilities reported
 by banks and brokers 2,869 2,629 2,424
 For own liabilities 1,725 1,604 1,476
 For customers' liabilities 1,144 1,024 949
 Interest on liabilities reported
 by nonbanking concerns 1,474 1,388 1,326
 U.S. government payments 31,038 30,219 30,157
Compensation of employees 3,671 3,851 3,868

 Change
 2013 2013:III
 to
 IV (p) 2013:IV

 Income receipts 206,129 8,564

Income on U.S.-owned assets abroad 204,461 8,556
 Direct investment receipts 124,658 7,297
 Earnings 122,681 7,266
 Interest 1,978 32
 Other private receipts 79,500 1,256
 Income on foreign securities 72,393 1,323
 Dividends 45,439 480
 Interest 26,954 844
 Interest on claims reported 3,888 -28
 by banks and brokers
 For own claims 3,540 -8
 For customers' claims 348 -20
 Interest on claims reported
 by nonbanking concerns 3,218 -41
 U.S. government receipts 303 3
Compensation of employees 1,668 8

 Income payments 141,737 3,308

Income on foreign-owned assets 137,842 3,281
 in the United States
 Direct investment payments 44,407 2,390
 Earnings 38,751 2,338
 Interest 5,655 52
 Other private payments 63,018 631
 Income on U.S. corporate securities 59,257 620
 Dividends 27,670 -286
 Interest 31,588 907
 Interest on liabilities reported
 by banks and brokers 2,363 -61
 For own liabilities 1,472 -4
 For customers' liabilities 891 -58
 Interest on liabilities reported
 by nonbanking concerns 1,398 72
 U.S. government payments 30,417 260
Compensation of employees 3,895 27

(p) Preliminary (r) Revised

Note. The statistics are presented in tables 1, 4 and 7
after this article and on BEA's Web site.

Table G. U.S.-Owned Assets Abroad
[Millions of dollars, seasonally adjusted]

 2013
 (Increase/financial outflow (-),
 decrease/financial inflow (+)) I (r) II (r) III (r)

 U.S.-owned assets abroad (1) -228,214 -105,353 -70,825
U.S. official reserve assets -876 191 1,001
U.S. government assets,
 other than official reserve assets -446 3,115 -142
U.S. private assets -226,892 -108,659 -71,684
 Direct investment -83,266 -96,156 -93,227
 Equity 852 -5,665 -11,857
 Reinvested earnings -78,883 -86,413 -92,859
 Intercompany debt -5,235 -4,078 11,488
 Foreign securities -133,783 -79,359 -42,280
 Stocks -73,830 -78,392 -22,855
 Bonds -59,953 -967 -19,425
 U.S. claims on unaffiliated
 foreigners reported by nonbanking
 concerns -22,437 -59,730 -1,054
 U.S. claims reported by banks 12,594 126,586 64,877
 and brokers
 For own accounts 31,313 163,495 59,026
 For customers' accounts -18,719 -36,909 5,851

 Change
 2013 2013:III
 (Increase/financial outflow (-), to
 decrease/financial inflow (+)) IV (p) 2013:IV

 U.S.-owned assets abroad (1) -148,591 -77,766
U.S. official reserve assets 2,782 1,781
U.S. government assets,
 other than official reserve assets -553 -411
U.S. private assets -150,820 -79,136
 Direct investment -86,992 6,235
 Equity 4,134 15,991
 Reinvested earnings -95,045 -2,186
 Intercompany debt 3,919 -7,569
 Foreign securities -133,456 -91,176
 Stocks -51,123 -28,268
 Bonds -82,333 -62,908
 U.S. claims on unaffiliated
 foreigners reported by nonbanking
 concerns 21,457 22,511
 U.S. claims reported by banks 48,171 -16,706
 and brokers
 For own accounts 9,105 -49,921
 For customers' accounts 39,066 33,215

(p) Preliminary (r) Revised

(1.) Excludes transactions in financial derivatives.

NOTE. Under balance-of-payments conventions, increases in
U.S.-owned assets abroad are shown with a negative sign, and
decreases are shown with a positive sign. The statistics are
presented in tables 1, 7, 8 and 10 in this article and on
BEA's Web site.

Table H. Foreign-Owned Assets in the United States
[Millions of dollars, seasonally adjusted]

 2013
 (Increase/financial inflow (+),
 decrease/financial outflow (-)) I (r) II (r) III (r)

 Foreign-owned assets in the United
 States (1) 266,887 168,563 145,592
Foreign official assets 126,871 -6,577 66,070
 U.S. government securities 96,603 -23,558 33,114
 U.S. Treasury securities 118,533 -11,974 13,890
 Other -21,930 -11,584 19,224
 Other U.S. government liabilities 1,608 3,546 3,768
 U.S. liabilities reported by banks
 and brokers 20,061 -9,354 29,024
 Other foreign official assets 8,599 22,789 164
Other foreign assets 140,016 175,140 79,522
 Direct investment 29,967 40,928 54,321
 Equity 13,090 10,534 40,112
 Reinvested earnings 26,934 32,288 15,072
 Intercompany debt -10,057 -1,894 -863
 U.S. Treasury securities 50,780 -6,065 64,833
 U.S. securities other than U.S.
 Treasury securities -10,970 -43,203 127,913
 Stocks -23,439 -47,098 60,830
 Corporate bonds 32,254 28,758 65,349
 Federally sponsored agency bonds -19,785 -24,863 1,734
 U.S. currency 4,957 9,486 12,664
 U.S. liabilities to unaffiliated
 foreigners reported by nonbanking
 concerns -20,872 18,850 -59,979
 U.S. liabilities reported by banks
 and brokers 86,154 155,144 -120,230
 For own accounts 89,152 175,207 -84,532
 For customers' accounts -2,998 -20,063 -35,698

 Change
 2013 2013:III
 (Increase/financial inflow (+), to
 decrease/financial outflow (-)) IV (p) 2013:IV

 Foreign-owned assets in the United
 States (1) 325,025 179,433
Foreign official assets 97,380 31,310
 U.S. government securities 98,489 65,375
 U.S. Treasury securities 115,074 101,184
 Other -16,585 -35,809
 Other U.S. government liabilities 2,384 -1,384
 U.S. liabilities reported by banks
 and brokers 21,212 -7,812
 Other foreign official assets -24,705 -24,869
Other foreign assets 227,645 148,123
 Direct investment 68,145 13,824
 Equity 29,109 -11,003
 Reinvested earnings 29,584 14,512
 Intercompany debt 9,453 10,316
 U.S. Treasury securities 92,672 27,839
 U.S. securities other than U.S.
 Treasury securities -29,437 -157,350
 Stocks -61,321 -122,151
 Corporate bonds 50,965 -14,384
 Federally sponsored agency bonds -19,081 -20,815
 U.S. currency 10,615 -2,049
 U.S. liabilities to unaffiliated
 foreigners reported by nonbanking
 concerns -2,818 57,161
 U.S. liabilities reported by banks
 and brokers 88,468 208,698
 For own accounts 65,105 149,637
 For customers' accounts 23,363 59,061

(p) Preliminary

(r) Revised

(1.) Excludes transactions in financial derivatives.

NOTE. The statistics are presented in tables 1, 7, 8 and 11
in this article and on BEA's Web site.

Table I. Current and Capital Accounts
[Millions of dollars]

 (Credits +; debits -) 2010 2011 2012

 Current account

Exports of goods and services
 and income receipts 2,522,520 2,873,654 2,986,949
 Goods, balance of payments
 basis 1,288,795 1,495,853 1,561,239
 Foods, feeds, and beverages 107,719 126,207 132,810
 Industrial supplies and
 materials 406,138 518,795 518,924
 Capital goods, except
 automotive 447,839 493,251 527,656
 Automotive vehicles, parts,
 and engines 112,008 132,849 146,126
 Consumer goods, except
 automotive 165,228 174,955 181,745
 Other exports 49,864 49,796 53,977
 Services 555,674 616,973 649,346
 Travel 103,463 115,552 126,214
 Passenger fares 30,987 36,763 39,360
 Other transportation 40,669 43,067 43,855
 Royalties and license fees 107,521 120,717 124,182
 Other private services 255,989 279,645 294,527
 Transfers under U.S.
 military agency sales
 contracts 14,958 18,821 18,520
 U.S. government misc.
 services 2,087 2,408 2,688

 Income receipts 678,051 760,829 776,364
 Income on U.S.-owned assets
 abroad 672,120 754,724 770,079
 Direct investment receipts 440,906 478,803 470,233
 Other private receipts 229,720 273,999 297,891
 U.S. government receipts 1,494 1,923 1,954
 Compensation of employees 5,931 6,105 6,286

Imports of goods and services -- -- --
 and income payments 2,844,240 3,197,844 3,297,677
 Goods, balance of payments
 basis 1,938,950 2,239,991 2,302,714
 Foods, feeds, and beverages -92,492 -108,258 -111,114
 Industrial supplies
 and materials -623,375 -781,994 -752,286
 Capital goods, except
 automotive -450,406 -513,482 -551,683
 Automotive vehicles, parts,
 and engines -225,641 -255,229 -298,531
 Consumer goods, except
 automotive -486,517 -517,457 -519,626
 Other imports and U.S.
 goods returned -60,519 -63,572 -69,474
 Services -404,897 -429,672 -442,527
 Travel -75,505 -78,229 -83,451
 Passenger fares -27,256 -31,079 -34,654
 Other transportation -51,202 -54,630 -55,445
 Royalties and license fees -32,551 -34,786 -39,889
 Other private services -186,423 -199,654 -201,227
 Direct defense expenditures -28,478 -27,752 -24,734
 U.S. government misc.
 services -3,483 -3,541 -3,127
 Income payments -500,392 -528,181 -552,437
 Income on foreign-owned
 assets in the
 United States -486,430 -513,997 -537,815
 Direct investment payments -152,890 -168,243 -176,747
 Other private payments -196,390 -213,350 -233,336
 U.S. government payments -137,150 -132,404 -127,732
 Compensation of employees -13,962 -14,184 -14,622

Unilateral current transfers, net -127,751 -133,535 -129,688
 U.S. government grants -42,736 -47,350 -46,090
 U.S. government pensions
 and other transfers -6,645 -7,837 -3,685
 Private remittances and other
 transfers -78,371 -78,349 -79,913

 Capital account
Capital account transactions, net -157 -1,212 6,956

Memoranda:
Balance on goods -650,156 -744,139 -741,475
Balance on services 150,777 187,301 206,819
Balance on goods and services -499,379 -556,838 -534,656
Balance on income 177,659 232,648 223,928
Unilateral current transfers, net -127,751 -133,535 -129,688
Balance on current account -449,471 -457,725 -440,416

 Change
 2012 to
 (Credits +; debits -) 2013 (p) 2013

 Current account

Exports of goods and services
 and income receipts 3,060,451 73,502
 Goods, balance of payments
 basis 1,589,664 28,425
 Foods, feeds, and beverages 135,942 3,132
 Industrial supplies and
 materials 525,312 6,388
 Capital goods, except
 automotive 534,462 6,806
 Automotive vehicles, parts,
 and engines 152,108 5,982
 Consumer goods, except
 automotive 188,518 6,773
 Other exports 53,322 -655
 Services 681,721 32,375
 Travel 139,569 13,355
 Passenger fares 41,145 1,785
 Other transportation 45,414 1,559
 Royalties and license fees 129,331 5,149
 Other private services 304,440 9,913
 Transfers under U.S.
 military agency sales
 contracts 18,977 457
 U.S. government misc.
 services 2,845 157

 Income receipts 789,065 12,701
 Income on U.S.-owned assets
 abroad 782,442 12,363
 Direct investment receipts 470,088 -145
 Other private receipts 310,866 12,975
 U.S. government receipts 1,488 -466
 Compensation of employees 6,623 337

Imports of goods and services --
 and income payments 3,306,549 -8,872
 Goods, balance of payments
 basis 2,293,574 9,140
 Foods, feeds, and beverages -116,020 -4,906
 Industrial supplies
 and materials -702,506 49,780
 Capital goods, except
 automotive -557,271 -5,588
 Automotive vehicles, parts,
 and engines -309,654 -11,123
 Consumer goods, except
 automotive -535,841 -16,215
 Other imports and U.S.
 goods returned -72,282 -2,808
 Services -452,675 -10,148
 Travel -86,243 -2,792
 Passenger fares -37,344 -2,690
 Other transportation -58,679 -3,234
 Royalties and license fees -41,291 -1,402
 Other private services -203,973 -2,746
 Direct defense expenditures -22,313 2,421
 U.S. government misc.
 services -2,832 295
 Income payments -560,300 -7,863
 Income on foreign-owned
 assets in the
 United States -545,016 -7,201
 Direct investment payments -174,294 2,453
 Other private payments -248,891 -15,555
 U.S. government payments -121,831 5,901
 Compensation of employees -15,285 -663

Unilateral current transfers, net -133,179 -3,491
 U.S. government grants -45,567 523
 U.S. government pensions
 and other transfers -2,593 1,092
 Private remittances and other
 transfers -85,020 -5,107

 Capital account
Capital account transactions, net 1 -412 -7,368

Memoranda:
Balance on goods -703,910 37,565
Balance on services 229,046 22,227
Balance on goods and services -474,864 59,792
Balance on income 228,765 4,837
Unilateral current transfers, net -133,179 -3,491
Balance on current account -379,278 61,138

(p) Preliminary

(1.) Equals the sum of net capital account transactions for the first,
second, and third quarters of the year.

NOTE. The statistics are presented in tables 1 and 2 in this article

and on BEA's Web site.

Table J. Financial Account and Statistical Discrepancy
[Millions of dollars]

 2010 2011 2012

 Financial account

U.S.-owned assets abroad
 (increase/financial
 outflow (-)) (1) -909,953 -452,304 -97,469
 U.S. official reserve assets -1,834 -15,877 -4,460
 U.S. government assets,
 other than official
 reserve assets 7,540 -103,666 85,331
 U.S. private assets -915,659 -332,761 -178,341
 Direct investment -301,080 -409,004 -388,293
 Equity -40,550 -64,748 -34,562
 Reinvested earnings -302,489 -326,497 -332,694
 Intercompany debt 41,960 -17,759 -21,037
 Foreign securities -139,084 -143,770 -144,823
 Stocks -79,149 -6,040 -82,580
 Bonds -59,935 -137,730 -62,243
 U.S. claims on unaffiliated
 foreigners reported
 by nonbanking concerns 31,326 4,147 -25,723
 U.S. claims reported by banks -506,821 215,866 380,498
 and brokers
 For own accounts -443,655 74,760 337,495
 For customers' accounts -63,166 141,106 43,003

Foreign-owned assets in the
 United States (increase/
 financial inflow (+)) (1) 1,333,921 969,006 543,884
 Foreign official assets 398,309 253,816 393,922
 U.S. government securities 353,294 149,101 314,660
 U.S. Treasury securities 442,012 169,813 433,155
 Other -88,718 -20,712 -118,495
 Other U.S. government
 liabilities 12,442 9,563 8,241
 U.S. liabilities reported
 by banks and brokers -7,967 27,474 -1,572
 Other foreign official assets 40,540 67,678 72,593
 Other foreign assets 935,612 715,190 149,962
 Direct investment 205,851 230,224 166,411
 Equity 140,474 98,465 59,621
 Reinvested earnings 62,673 80,859 105,752
 Intercompany debt 2,703 50,900 1,038
 U.S. Treasury securities 298,341 188,045 156,385
 U.S. securities other than
 U.S. Treasury securities 140,939 -54,462 196,908
 Stocks 139,221 60,919 173,324
 Corporate bonds -24,488 -106,256 -33,159
 Federally sponsored agency
 bonds 26,206 -9,125 56,743
 U.S. currency 28,319 54,996 57,141
 U.S. liabilities to
 unaffiliated foreigners
 reported by nonbanking
 concerns 67,985 6,053 -39,505
 U.S. liabilities reported
 by banks and brokers 194,177 290,334 -387,378
 For own accounts 231,298 314,671 -409,583
 For customers' accounts -37,121 -24,337 22,205

Financial derivatives, net 14,076 35,006 -7,064

Statistical discrepancy
 (sum of the bold lines in
 tables I and J with sign
 reversed) 11,585 -92,771 -5,891

Memorandum:
Net financial flows (2) 438,044 551,708 439,351

 Change
 2012 to
 2013 (p) 2013

 Financial account

U.S.-owned assets abroad
 (increase/financial
 outflow (-)) (1) -552,983 -455,514
 U.S. official reserve assets 3,098 7,558
 U.S. government assets,
 other than official
 reserve assets 1,975 -83,356
 U.S. private assets -558,056 -379,715
 Direct investment -359,642 28,651
 Equity -12,536 22,026
 Reinvested earnings -353,200 -20,506
 Intercompany debt 6,094 27,131
 Foreign securities -388,878 -244,055
 Stocks -226,200 -143,620
 Bonds -162,678 -100,435
 U.S. claims on unaffiliated
 foreigners reported
 by nonbanking concerns -61,764 -36,041
 U.S. claims reported by banks 252,228 -128,270
 and brokers
 For own accounts 262,939 -74,556
 For customers' accounts -10,711 -53,714

Foreign-owned assets in the
 United States (increase/
 financial inflow (+)) (1) 906,066 362,182
 Foreign official assets 283,744 -110,178
 U.S. government securities 204,648 -110,012
 U.S. Treasury securities 235,523 -197,632
 Other -30,875 87,620
 Other U.S. government
 liabilities 11,306 3,065
 U.S. liabilities reported
 by banks and brokers 60,943 62,515
 Other foreign official assets 6,847 -65,746
 Other foreign assets 622,322 472,360
 Direct investment 193,360 26,949
 Equity 92,845 33,224
 Reinvested earnings 103,877 -1,875
 Intercompany debt -3,361 -4,399
 U.S. Treasury securities 202,220 45,835
 U.S. securities other than
 U.S. Treasury securities 44,303 -152,605
 Stocks -71,028 -244,352
 Corporate bonds 177,326 210,485
 Federally sponsored agency
 bonds -61,995 -118,738
 U.S. currency 37,722 -19,419
 U.S. liabilities to
 unaffiliated foreigners
 reported by nonbanking
 concerns -64,819 -25,314
 U.S. liabilities reported
 by banks and brokers 209,536 596,914
 For own accounts 244,932 654,515
 For customers' accounts -35,396 -57,601

Financial derivatives, net -1,850 5,214

Statistical discrepancy
 (sum of the bold lines in
 tables I and J with sign
 reversed) 28,456 34,347

Memorandum:
Net financial flows (2) 351,233 -88,118

(p) Preliminary

(1.) Excludes transactions in financial derivatives.

(2.) Sum of U.S.-owned assets abroad, foreign-owned assets in the
United States, and financial derivatives.

NOTE. The statistics, except for net financial flows, are presented
in tables 1, 7, 8, 10, and 11 in this article and on BEA's Web site.