Fourth Quarter and Year 2017

The U.S. current-account deficit--a net measure of transactions between the United States and the rest of the world in goods, services, primary income, and secondary income--increased to $128.2 billion (preliminary) in the fourth quarter of 2017 from $101.5 billion (revised) in the third quarter (chart 1 and table A). The deficit was 2.6 percent of current-dollar gross domestic product (GDP) in the fourth quarter, up from 2.1 percent in the third quarter.

The $26.7 billion increase in the current-account deficit mostly reflected increases in the deficits on goods and secondary income and a decrease in the surplus on primary income.

The annual current-account deficit increased to $466.2 billion (preliminary) in 2017 from $451.7 billion in 2016. The deficit was 2.4 percent of current-dollar GDP in 2017, the same percentage as in 2016.

Net U.S. borrowing measured by financial-account transactions was $29.8 billion in the fourth quarter, a decrease from net borrowing of $121.8 billion in the third quarter.

Net U.S. borrowing measured by financial-account transactions was $349.2 billion in 2017, a decrease from net borrowing of $377.7 billion in 2016.

Fourth-Quarter Overview

Current-account highlights

* The deficit on goods increased $19.0 billion in the fourth quarter to $214.3 billion.

* The deficit on secondary income increased $6.8 billion to $31.5 billion.

* The surplus on primary income decreased $1.3 billion to $57.2 billion.

* The surplus on services increased $0.3 billion to $60.4 billion.

Capital-account highlights

The balance on the capital account shifted to a deficit of less than $0.1 billion in the fourth quarter from a surplus of $24.9 billion in the third quarter. Third-quarter transactions reflected receipts from foreign insurance companies for losses resulting from hurricanes Harvey, Irma, and Maria. (1)

Financial-account highlights

* Net U.S. acquisition of financial assets excluding financial derivatives decreased $172.8 billion to $177.9 billion (chart 2).

* Net U.S. incurrence of liabilities excluding financial derivatives decreased $282.6 billion to $208.4 billion.

* Transactions in financial derivatives other than reserves reflected fourth-quarter net lending of $0.8 billion, a decrease of $17.8 billion from the third quarter.

Statistical discrepancy

The statistical discrepancy was $98.4 billion in the fourth quarter; it was -$45.2 billion in the third quarter.

Fourth-Quarter Current Account--Exports of Goods and Services and Income Receipts

Exports of goods and services and income receipts increased $16.6 billion, or 1.9 percent, in the fourth quarter to $878.8 billion (charts 3 and 4 and table B).

* Goods exports increased $14.2 billion, or 3.7 percent, to $400.7 billion, mostly reflecting an increase in industrial supplies and materials, primarily petroleum and products.

* Primary income receipts increased $6.0 billion, or 2.5 percent, to $243.9 billion, mostly reflecting increases in direct investment income and in portfolio investment income.

* Secondary income receipts decreased $5.9 billion, or 14.4 percent, to $35.3 billion, partly offsetting the increases in goods exports and in primary income receipts. The decrease in secondary income receipts mostly reflected a decrease in U.S. government transfers, primarily fines and penalties.

Fourth-Quarter Current Account--Imports of Goods and Services and Income

Payments

Imports of goods and services and income payments increased $43.3 billion, or 4.5 percent, to $1,006.9 billion (charts 3 and 5 and table C).

* Goods imports increased $33.1 billion, or 5.7 percent, to $614.9 billion, mostly reflecting increases in industrial supplies and materials, primarily petroleum and products, and in consumer goods except food and automotive.

* Primary income payments increased $7.3 billion, or 4.1 percent, to $186.7 billion, primarily reflecting an increase in direct investment income.

Fourth-Quarter Financial Account

Acquisition of financial assets

* Net U.S. acquisition of portfolio investment assets decreased $95.9 billion to $83.3 billion, reflecting a shift to net U.S. sales of foreign equity and investment fund shares from thirdquarter net purchases (chart 6 and table D).

* Transactions in other investment assets shifted to net U.S. liquidation of $10.7 billion in the fourth quarter from net acquisition of $74.7 billion in the third quarter, mostly reflecting a shift to net foreign repayment of loans from thirdquarter net U.S. provision of loans to foreigners.

Incurrence of liabilities

* Net U.S. incurrence of portfolio investment liabilities decreased $211.5 billion to $84.9 billion, reflecting a decrease in net foreign purchases of U.S. long-term debt securities and a shift to net foreign sales of U.S. equity and investment fund shares from third-quarter net foreign purchases.

* Net U.S. incurrence of direct investment liabilities decreased $49.6 billion to $54.1 billion, primarily reflecting a shift to net U.S. repayment of debt instrument liabilities from third-quarter net incurrence.

* Net U.S. incurrence of other investment liabilities decreased $21.4 billion to $69.5 billion, reflecting largely offsetting changes in transactions in loan and deposit liabilities. In loans, transactions shifted to net U.S. repayment of loan liabilities from thirdquarter net incurrence. In deposits, transactions shifted to net incurrence of deposit liabilities from third-quarter net foreign withdrawal of deposits in the United States.

Updates to Statistics

The U.S. international transactions statistics for the third quarter of 2017 have been updated to incorporate new and revised source data. In addition, the statistics for the first three quarters of 2017 have been updated to align the seasonally adjusted statistics with annual totals.

Current Account in 2017

Current-account highlights

In 2017, the current-account deficit increased $14.6 billion to $466.2 billion, primarily reflecting an increase in the deficit on goods and a decrease in the surplus on services (chart 7 and table F). These changes were partly offset by an increase in the surplus on primary income and a decrease in the deficit on secondary income.

Exports of goods and services and income receipts increased $250.9 billion in 2017 to $3,408.2 billion.

* Primary income receipts increased $112.9 billion to $926.9 billion, led by an increase in direct investment income.

* Goods exports increased $95.0 billion to $1,550.7 billion, led by an increase in industrial supplies and materials.

* Services exports increased $28.5 billion to $780.9 billion, led by increases in other business services and in financial services.

Imports of goods and services and income payments increased $265.5 billion to $3,874.4 billion.

* Goods imports increased $153.7 billion to $2,361.9 billion, led by increases in industrial supplies and materials and in capital goods except automotive.

* Primary income payments increased $69.1 billion to $709.9 billion, led by increases in portfolio investment income and in other investment income.

* Services imports increased $33.5 billion to $538.1 billion, led by increases in travel (for all purposes including education) and in other business services.

Capital and Financial Accounts and the Statistical Discrepancy in 2017

Capital account

Capital transfer receipts were $24.9 billion in 2017 (table G). The transactions reflected receipts from foreign insurance companies for losses resulting from hurricanes Harvey, Irma, and Maria. (2)

Acquisition of financial assets

Net U.S. acquisition of financial assets excluding financial derivatives increased $864.5 billion to $1,212.4 billion.

* Net U.S. acquisition of portfolio investment assets increased $548.9 billion to $589.5 billion, reflecting increases in net U.S. purchases of foreign debt securities and in net purchases of foreign equity and investment fund shares.

* Transactions in other investment assets shifted to net U.S. acquisition of $200.1 billion in 2017 from net liquidation of $6.4 billion in 2016, primarily reflecting a shift to net U.S. acquisition of deposits abroad in 2017 from net withdrawal in 2016.

* Net U.S. acquisition of direct investment assets increased $112.8 billion to $424.4 billion, reflecting a shift to net U.S. acquisition of debt instruments in 2017 from net foreign repayment in 2016 and an increase in net acquisition of equity assets.

Incurrence of liabilities

Net U.S. incurrence of liabilities excluding financial derivatives increased $846.5 billion to $1,587.9 billion.

* Net U.S. incurrence of portfolio investment liabilities increased $599.7 billion to $837.1 billion, reflecting a shift to net foreign purchases of U.S. equity and investment fund shares in 2017 from net foreign sales in 2016 and an increase in net foreign purchases of U.S. long-term debt securities.

* Net U.S. incurrence of other investment liabilities increased $377.6 billion to $402.2 billion, reflecting a shift to net U.S. incurrence of deposit liabilities in 2017 from net foreign withdrawal in 2016 and a shift to net U.S. incurrence of loan liabilities in 2017 from net repayment in 2016.

* Net U.S. incurrence of direct investment liabilities decreased $130.7 billion to $348.7 billion, partly offsetting the increases in net U.S. incurrence of portfolio investment liabilities and other investment liabilities. The decrease in net U.S. incurrence of direct investment liabilities reflected decreases in net incurrence of debt instrument liabilities and equity liabilities.

Financial derivatives

Transactions in financial derivatives other than reserves reflected net lending of $26.4 billion in 2017, an increase of $10.5 billion from 2016.

Statistical discrepancy

The statistical discrepancy increased $18.1 billion in 2017 to $92.2 billion.

Prepared by Michelle Murillo

Data Availability and Methodology

Detailed statistics for U.S. international transactions accompany this article in tables 1.1-9.1. The statistics and a description of the estimation methods used to compile them are also available on BEA's Web site.

The links in the text and tables of this article are to the latest available statistics in the interactive tables.

For the statistics, see "International Data." For the methods, see U.S. International Economic Accounts: Concepts and Methods.

Preview of the 2018 Annual Update

The annual update of the U.S. international transactions accounts will be released along with the preliminary estimates for the first quarter of 2018 on June 20, 2018. See "Preview of the 2018 Annual Update of the International Economic Accounts" in the May Survey of Current Business for a summary of changes that will be incorporated as part of the update.

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

                                                        2017

                                                  I (r)      II (r)

                              Current account
Exports of goods and services                     833,304    833,996
and income receipts (credits)
  Exports of goods and services                   574,672    574,424
    Goods                                         382,121    381,422
    Services                                      192,551    193,002
  Primary income receipts                         219,580    225,412
  Secondary income (current                        39,052     34,160
  transfer) receipts
  Imports of goods and services                   946,175    957,738
  and income payments (debits)
  Imports of goods and services                   712,516    715,870
    Goods                                         582,503    582,694
    Services                                      130,014    133,176
  Primary income payments                         169,152    174,533
  Secondary income (current                        64,507     67,335
transfer) payments
                              Capital account
Capital transfer receipts                           0          0
and other credits
Capital transfer payments                           1          0
and other debits
                              Financial account
Net U.S. acquisition of financial assets          332,387    351,460
excluding financial derivatives
(net increase in assets / financial
outflow (+))
  Direct investment assets                        123,719     97,210
  Portfolio investment assets                     140,446    186,482
  Other investment assets                          68,464     67,618
  Reserve assets                                     -241        150
Net U.S. incurrence of liabilities                417,760    470,708
excluding financial derivatives
(net increase in liabilities / financial
inflow (+))
Direct investment liabilities                      97,703     93,205
Portfolio investment liabilities                  164,522    291,264
Other investment liabilities                      155,535     86,238
Financial derivatives other than                   -2,320      9,306
reserves, net transactions
                              Statistical
                              discrepancy
Statistical discrepancy (1)                        25,179     13,800
                              Balances
Balance on current account                       -112,871   -123,742
  Balance on goods and services                  -137,845   -141,446
    Balance on goods                             -200,382   -201,272
    Balance on services                            62,538     59,826
  Balance on primary income                        50,429     50,879
  Balance on secondary income                     -25,455    -33,175
Balance on capital account                             -1          0
Net lending (+) or net borrowing                 -112,872   -123,742
(-) from current- and capital-account
transactions (2)
Net lending (+) or net borrowing                  -87,693   -109,942
(-) from financial-account
transactions (3)

                                                          2017

                                                    III (r)    IV (p)

                              Current account
Exports of goods and services                       862,133    878,755
and income receipts (credits)
  Exports of goods and services                     582,983    599,519
    Goods                                           386,507    400,670
    Services                                        196,476    198,849
  Primary income receipts                           237,925    243,945
  Secondary income (current                          41,225     35,291
  transfer) receipts
  Imports of goods and services                     963,608  1,006,913
  and income payments (debits)
  Imports of goods and services                     718,248    753,406
    Goods                                           581,804    614,931
    Services                                        136,445    138,474
  Primary income payments                           179,430    186,749
  Secondary income (current                          65,930     66,758
transfer) payments
                              Capital account
Capital transfer receipts                            24,868          0
and other credits
Capital transfer payments                                 0         20
and other debits
                              Financial account
Net U.S. acquisition of financial assets            350,653    177,861
excluding financial derivatives
(net increase in assets / financial
outflow (+))
  Direct investment assets                           96,734   106,755
  Portfolio investment assets                       179,260    83,330
  Other investment assets                            74,720   -10,685
  Reserve assets                                        -61    -1,539
Net U.S. incurrence of liabilities                  491,010   208,437
excluding financial derivatives
(net increase in liabilities / financial
inflow (+))
Direct investment liabilities                       103,675    54,091
Portfolio investment liabilities                    296,404    84,860
Other investment liabilities                         90,932    69,486
Financial derivatives other than                     18,600       777
reserves, net transactions
                              Statistical
                              discrepancy
Statistical discrepancy (1)                         -45,150    98,379
                              Balances
Balance on current account                         -101,475  -128,158
  Balance on goods and services                    -135,265  -153,886
    Balance on goods                               -195,297  -214,261
    Balance on services                              60,032    60,375
  Balance on primary income                          58,495    57,195
  Balance on secondary income                       -24,706   -31,467
Balance on capital account                           24,868       -20
Net lending (+) or net borrowing                    -76,608  -128,178
(-) from current- and capital-account
transactions (2)
Net lending (+) or net borrowing                   -121,757   -29,799
(-) from financial-account
transactions (3)

                                                     Change 2017:III
                                                     to 2017:IV

                              Current account
Exports of goods and services                        16,622
and income receipts (credits)
  Exports of goods and services                      16,536
    Goods                                            14,163
    Services                                          2,373
  Primary income receipts                             6,020
  Secondary income (current                          -5,934
  transfer) receipts
  Imports of goods and services                      43,305
  and income payments (debits)
  Imports of goods and services                      35,158
    Goods                                            33,127
    Services                                          2,029
  Primary income payments                             7,319
  Secondary income (current                         828
transfer) payments
                              Capital account
Capital transfer receipts                           -24,868
and other credits
Capital transfer payments                                20
and other debits
                              Financial account
Net U.S. acquisition of financial assets           -172,792
excluding financial derivatives
(net increase in assets / financial
outflow (+))
  Direct investment assets                           10,021
  Portfolio investment assets                       -95,930
  Other investment assets                           -85,405
  Reserve assets                                     -1,478
Net U.S. incurrence of liabilities                 -282,573
excluding financial derivatives
(net increase in liabilities / financial
inflow (+))
Direct investment liabilities                       -49,584
Portfolio investment liabilities                   -211,544
Other investment liabilities                        -21,446
Financial derivatives other than                    -17,823
reserves, net transactions
                              Statistical
                              discrepancy
Statistical discrepancy (1)                         143,529
                              Balances
Balance on current account                          -26,683
  Balance on goods and services                     -18,621
    Balance on goods                                -18,964
    Balance on services                             343
  Balance on primary income                          -1,300
  Balance on secondary income                        -6,761
Balance on capital account                          -24,888
Net lending (+) or net borrowing                    -51,570
(-) from current- and capital-account
transactions (2)
Net lending (+) or net borrowing                     91,958
(-) from financial-account
transactions (3)

(p) Preliminary
(r) Revised
(1.) The statistical discrepancy is the difference between net
acquisition of financial assets and net incurrence of liabilities in
the financial account (including financial derivatives) less the
difference between total credits and total debits recorded in the
current and capital accounts.
(2.) Sum of current- and capital-account balances.
(3.) Sum of net U.S. acquisition of financial assets and net
transactions in financial derivatives less net U.S. incurrence of
liabilities.
Note. The statistics are presented in table 1.2 on BEA's Web site.

Table B. Exports of Goods and Services and Income Receipts
[Millions of dollars, seasonally adjusted]

                                                   2017
                                        I (r)     II (r)    III (r)

    Exports of goods and services       833,304   833,996   862,133
    and income receipts
Exports of goods                        382,121   381,422   386,507
  General merchandise                   375,870   375,668   381,519
    Foods, feeds, and beverages          32,376    34,016    35,057
    Industrial supplies and materials   110,283   109,540   110,421
      Energy products                    37,588    37,795    37,969
        Of which: Petroleum and          31,655    31,983    32,394
        products
      Nonenergy products                 72,695    71,745    72,452
    Capital goods except automotive     129,765   130,542   135,194
    Automotive vehicles, parts, and      40,236    39,171    38,716
    engines
    Consumer goods except food           49,862    48,762    48,789
    and automotive
    Other general merchandise            13,347    13,637    13,341
  Net exports of goods under                 75        65        47
  merchanting
  Nonmonetary gold                        6,175     5,689     4,941
Exports of services (1)                 192,551   193,002   196,476
  Maintenance and repair services         6,969     6,611     6,179
  n.i.e.
  Transport                              21,427    21,196    21,772
  Travel (for all purposes including     51,838    50,616    50,392
  education)
    Business                              9,913     9,685     9,262
    Personal                             41,925    40,931    41,130
  Insurance services                      4,106     4,308     4,630
  Financial services                     25,342    25,926    27,174
  Charges for the use of intellectual    29,830    31,671    33,188
  property n.i.e.
  Telecommunications, computer,           9,619     9,533     9,824
  and information services
  Other business services                38,505    38,207    38,467
  Government goods and services           4,916     4,934     4,850
  n.i.e.
Primary income receipts                 219,580   225,412   237,925
  Investment income                     217,934   223,758   236,264
    Direct investment income            123,195   123,135   128,975
    Portfolio investment income          82,171    85,666    90,534
      Income on equity and               53,958    56,640    60,591
      investment fund shares
      Interest on debt securities        28,214    29,026    29,943
    Other investment income              12,509    14,822    16,632
    Reserve asset income                     59       135       123
  Compensation of employees               1,646     1,654     1,661
Secondary income (current                39,052    34,160    41,225
transfer) receipts (2)

                                         2017        Change 2017:III
                                         IV (p)      to 2017:IV

    Exports of goods and services        878,755     16,622
    and income receipts
Exports of goods                         400,670     14,163
  General merchandise                    395,874     14,355
    Foods, feeds, and beverages           31,467     -3,590
    Industrial supplies and materials    123,491     13,070
      Energy products                     45,769      7,800
        Of which: Petroleum and           39,994      7,600
        products
      Nonenergy products                  77,722      5,270
    Capital goods except automotive      137,596      2,402
    Automotive vehicles, parts, and       39,431        715
    engines
    Consumer goods except food            49,858      1,069
    and automotive
    Other general merchandise             14,031        690
  Net exports of goods under                  54          7
  merchanting
  Nonmonetary gold                         4,742       -199
Exports of services (1)                  198,849      2,373
  Maintenance and repair services          6,157        -22
  n.i.e.
  Transport                               22,153        381
  Travel (for all purposes including      50,849        457
  education)
    Business                               9,698        436
    Personal                              41,152         22
  Insurance services                       4,771        141
  Financial services                      27,982        808
  Charges for the use of intellectual     33,247         59
  property n.i.e.
  Telecommunications, computer,            9,961        137
  and information services
  Other business services                 39,279        812
  Government goods and services            4,449       -401
  n.i.e.
Primary income receipts                  243,945      6,020
  Investment income                      242,284      6,020
    Direct investment income             131,724      2,749
    Portfolio investment income           93,047      2,513
      Income on equity and                61,948      1,357
      investment fund shares
      Interest on debt securities         31,100      1,157
    Other investment income               17,431        799
    Reserve asset income                      82        -41
  Compensation of employees                1,660         -1
Secondary income (current                 35,291     -5,934
transfer) receipts (2)

(p) Preliminary
(r) Revised
n.i.e. Not included elsewhere
(1.) See also Alexis N. Grimm and Shari Allen, "U.S. International
Services: Trade in Services in 2016 and Services Supplied Through
Affiliates in 2015," Survey of Current Business 97 (October 2017).
(2.) Secondary income receipts include U.S. government and private
transfers, such as fines and penalties, withholding taxes,
insurance-related transfers, and other current transfers.
Note. The statistics are presented in table 1.2, table 2.1, table 3.1,
table 4.1, and table 5.1 on BEA's Web site.

Table C. Imports of Goods and Services and Income Payments
[Millions of dollars, seasonally adjusted]

                                                   2017
                                        I (r)     II (r)    III (r)

    Imports of goods and services       946,175   957,738   963,608
    and income payments
Imports of goods                        582,503   582,694   581,804
  General merchandise                   579,156   580,099   579,016
    Foods, feeds, and beverages          33,731    34,453    35,103
    Industrial supplies and             130,069   126,225   122,171
    materials
      Energy products                    59,512    52,497    48,407
        Of which: Petroleum and          55,746    47,984    44,197
        products
      Nonenergy products                 70,557    73,728    73,764
    Capital goods except                153,142   157,790   163,473
    automotive
    Automotive vehicles, parts,          91,022    89,368    88,997
    and engines
    Consumer goods except food          149,773   149,400   146,918
    and automotive
    Other general merchandise            21,418    22,863    22,354
  Nonmonetary gold                        3,347     2,595     2,788
  Imports of services (1)               130,014   133,176   136,445
  Maintenance and repair                  2,270     2,212     2,039
  services n.i.e.
  Transport                              25,201    25,136    25,072
Travel (for all purposes including       32,624    34,000    34,153
education)
    Business                              4,037     4,125     4,165
    Personal                             28,587    29,874    29,988
  Insurance services                     11,839    12,364    12,677
  Financial services                      6,484     6,813     7,253
  Charges for the use of intellectual    11,726    12,105    12,041
  property n.i.e.
  Telecommunications, computer,           9,956     9,758    10,148
  and information services
  Other business services                24,371    25,318    27,485
  Government goods and                    5,542     5,471     5,576
  services n.i.e.
Primary income payments                 169,152   174,533   179,430
  Investment income                     164,132   169,310   174,031
    Direct investment income             48,874    49,564    49,442
    Portfolio investment income         106,022   108,444   111,396
      Income on equity and               35,271    36,036    36,711
      investment fund shares
      Interest on debt securities        70,751    72,408    74,684
    Other investment income               9,235    11,301    13,193
  Compensation of employees               5,020     5,223     5,398
Secondary income (current                64,507    67,335    65,930
transfer) payments (2)

                                           2017        Change 2017:III
                                           IV (p)      to 2017:IV

    Imports of goods and services        1,006,913     43,305
    and income payments
Imports of goods                           614,931     33,127
  General merchandise                      611,458     32,442
    Foods, feeds, and beverages             35,544        441
    Industrial supplies and                133,570     11,399
    materials
      Energy products                       55,648      7,241
        Of which: Petroleum and             51,447      7,250
        products
      Nonenergy products                    77,922      4,158
    Capital goods except                   169,290      5,817
    automotive
    Automotive vehicles, parts,             90,520      1,523
    and engines
    Consumer goods except food             158,153     11,235
    and automotive
    Other general merchandise               24,381      2,027
  Nonmonetary gold                           3,473        685
  Imports of services (1)                  138,474      2,029
  Maintenance and repair                     2,038         -1
  services n.i.e.
  Transport                                 25,808        736
Travel (for all purposes including          34,432        279
education)
    Business                                 4,348        183
    Personal                                30,084         96
  Insurance services                        12,818        141
  Financial services                         7,436        183
  Charges for the use of intellectual       12,481        440
  property n.i.e.
  Telecommunications, computer,             10,360        212
  and information services
  Other business services                   27,599        114
  Government goods and                       5,503        -73
  services n.i.e.
Primary income payments                    186,749      7,319
  Investment income                        181,354      7,323
    Direct investment income                54,088      4,646
    Portfolio investment income            113,001      1,605
      Income on equity and                  36,661        -50
      investment fund shares
      Interest on debt securities           76,339      1,655
    Other investment income                 14,265      1,072
  Compensation of employees                  5,395         -3
Secondary income (current                   66,758        828
transfer) payments (2)

p Preliminary
r Revised
n.i.e. Not included elsewhere
(1.) See also Alexis N. Grimm and Shari Allen. "U.S. International
Services: Trade in Services in 2016 and Services Supplied Through
Affiliates in 2015," Survey of Current Business 97 (October 2017).
(2.) Secondary income receipts include U.S. government and private
transfers, such as fines and penalties, withholding taxes,
insurance-related transfers, and other current transfers.
Note. The statistics are presented in table 1.2, table 2.1, table 3.1.
table 4.1. and table 5.1 on BEA's Web site.

Table D. Net U.S. Acquisition of Financial Assets and Net U.S.
Incurrence of Liabilities
[Millions of dollars, seasonally adjusted]

                                                   2017
                                           I (r)     II (r)     III (r)

Net U.S. acquisition of financial assets   332,387   351,460    350,653
excluding financial derivatives
(net increase in assets / financial
outflow (+))
Direct investment assets                   123,719    97,210     96,734
  Equity                                    98,533    93,566     67,847
    Equity other than reinvestment          12,212     5,357      2,317
    of earnings
    Reinvestment of earnings                86,321    88,210     65,530
  Debt instruments                          25,185     3,644     28,888
Portfolio investment assets                140,446   186,482    179,260
  Equity and investment fund shares         37,395   120,716     69,592
  Debt securities                          103,051    65,766    109,667
    Short-term securities                   37,797    36,261     71,918
    Long-term corporate securities          46,179    20,106     26,309
    Other long-term securities              19,075     9,399     11,440
Other investment assets                     68,464    67,618     74,720
  Currency and deposits                     38,989     9,542     52,395
  Loans                                     25,660    58,461     21,093
  Trade credit and advances                  3,815      -385      1,232
Reserve assets                                -241       150        -61
  Monetary gold                                  0         0          0
  Special drawing rights                        11        15         26
  Reserve position in the                     -261        82        -98
  International Monetary Fund
  Other reserve assets                           9        54         11
Net U.S. incurrence of liabilities         417,760              491,010
excluding financial derivatives
(net increase in liabilities /                       470,708
financial inflow (+))
Direct investment liabilities               97,703    93,205    103,675
  Equity                                    89,652    68,499     73,210
    Equity other than                       62,439    48,213     44,741
    reinvestment of earnings
    Reinvestment of earnings                27,212    20,286     28,469
  Debt instruments                           8,052    24,706     30,465
Portfolio investment liabilities           164,522   291,264    296,404
  Equity and investment fund                58,169    33,470     80,892
  shares
  Debt securities                          106,354   257,794    215,512
    Short term                              -4,454    37,173    -23,564
      Treasury bills and                       634    25,737      4,416
      certificates
      Federally sponsored
      agency securities
                                            -1,920    -4,588     -1,957
      Other short-term securities           -3,168    16,024    -26,023
    Long term                              110,807   220,620    239,076
      Treasury bonds and notes              73,162    44,491    150,036
      Federally sponsored                  -17,773    24,265     14,484
      agency securities
      Corporate bonds and notes             53,569   146,735     75,096
      Other                                  1,849     5,129   -540
Other investment liabilities               155,535    86,238     90,932
  Currency (short term)                     20,764    15,830     15,850
  Deposits                                  47,356    90,495    -30,871
  Loans                                     78,731   -20,495     99,220
  Trade credit and advances                  8,683       409      6,733
  Special drawing rights allocations
                                                 0         0          0

                                            2017      Change 2017:III
                                            IV (p)    to 2017:IV

Net U.S. acquisition of financial assets    177,861   -172,792
excluding financial derivatives
(net increase in assets / financial
outflow (+))
Direct investment assets                    106,755     10,021
  Equity                                    114,970     47,123
    Equity other than reinvestment           10,446      8,129
    of earnings
    Reinvestment of earnings                104,524     38,994
  Debt instruments                           -8,214    -37,102
Portfolio investment assets                  83,330    -95,930
  Equity and investment fund shares         -33,908   -103,500
  Debt securities                           117,237      7,570
    Short-term securities                    30,437    -41,481
    Long-term corporate securities           61,963     35,654
    Other long-term securities               24,837     13,397
Other investment assets                     -10,685    -85,405
  Currency and deposits                      47,821     -4,574
  Loans                                     -58,294    -79,387
  Trade credit and advances                    -213     -1,445
Reserve assets                               -1,539     -1,478
  Monetary gold                                   0          0
  Special drawing rights                         26          0
  Reserve position in the                    -1,535     -1,437
  International Monetary Fund
  Other reserve assets                          -29        -40
Net U.S. incurrence of liabilities          208,437   -282,573
excluding financial derivatives
(net increase in liabilities /
financial inflow (+))
Direct investment liabilities                54,091    -49,584
  Equity                                     62,324    -10,886
    Equity other than                        29,817    -14,924
    reinvestment of earnings
    Reinvestment of earnings                 32,507      4,038
  Debt instruments                           -8,234    -38,699
Portfolio investment liabilities             84,860   -211,544
  Equity and investment fund                 -5,706    -86,598
  shares
  Debt securities                            90,567   -124,945
    Short term                               28,779     52,343
      Treasury bills and                     24,623     20,207
      certificates
      Federally sponsored
      agency securities
                                              2,186      4,143
      Other short-term securities             1,970     27,993
    Long term                                61,788   -177,288
      Treasury bonds and notes                  547   -149,489
      Federally sponsored                     8,043     -6,441
      agency securities
      Corporate bonds and notes              53,430    -21,666
      Other                                    -232        308
Other investment liabilities                 69,486    -21,446
  Currency (short term)                      17,262      1,412
  Deposits                                   59,793     90,664
  Loans                                      -9,839   -109,059
  Trade credit and advances                   2,270     -4,463
  Special drawing rights allocations
                                                  0          0

(p) Preliminary
(r) Revised
Note. The statistics are presented in table 1.2, table 6.1, table 7.1,
and table 8.1 on BEA's Web site.

Table E. Updates to the Third-Quarter 2017 International Transactions
Aggregates
[Millions of dollars, seasonally adjusted]

                                Preliminary estimate   Revised estimate

Balance on goods                -195,258               -195,297
Balance on services               60,900                 60,032
Balance on primary income         57,033                 58,495
Balance on secondary income      -23,240                -24,706
(current transfers)
Balance on current account      -100,566               -101,475
Net U.S. acquisition of          337,900                350,653
financial assets
Net U.S. incurrence of           462,131                491,010
liabilities
Net lending or borrowing from   -105,631               -121,757
financial-account transactions

Table F. Current Account
[Millions of dollars]

                                                      2014        2015

                         Current account
Exports of goods and services                    3,333,332   3,172,990
and income receipts (credits)
  Exports of goods                               1,633,986   1,510,757
    Foods, feeds, and beverages                    143,721     127,735
    Industrial supplies and                        500,677     417,445
    materials
    Capital goods except automotive                551,758     539,758
    Automotive vehicles, parts,                    159,812     151,921
    and engines
    Consumer goods except food                     198,398     197,407
    and automotive
    Other general merchandise                       56,669      54,904
    Net exports of goods under                         299         261
    merchanting
    Nonmonetary gold                                22,654      21,325
  Exports of services                              741,919     753,150
    Maintenance and repair                          21,149      23,406
    services n.i.e.
    Transport                                       90,729      87,609
    Travel (for all purposes including             191,918     205,418
    education)
    Insurance services                              17,333      16,229
    Financial services                             106,949     102,595
    Charges for the use of intellectual            129,716     124,442
    property n.i.e.
    Telecommunications, computer,                   34,691      35,664
    and information services
    Other business services                        128,915     136,622
    Government goods and services                   20,518      21,165
    n.i.e.
  Primary income receipts                          817,348     782,985
    Direct investment income                       474,805     436,909
    Portfolio investment income                    304,984     307,963
    Other investment income                         30,741      31,332
    Reserve asset income                               315         219
    Compensation of employees                        6,503       6,562
  Secondary income (current                        140,079     126,098
  transfer) receipts
Imports of goods and services and                3,707,131   3,607,589
income payments (debits)
  Imports of goods                               2,385,480   2,272,612
    Foods, feeds, and beverages                    126,805     128,768
    Industrial supplies and materials              675,567     492,241
    Capital goods except automotive                598,759     606,772
    Automotive vehicles, parts,                    329,498     350,034
    and engines
    Consumer goods except food                     558,700     596,553
    and automotive
    Other general merchandise                       80,688      85,654
    Nonmonetary gold                                15,464      12,590
  Imports of services                              480,761     491,740
    Maintenance and repair services                  7,520       9,010
    n.i.e.
    Transport                                       94,188      97,061
    Travel (for all purposes including             105,668     114,723
    education)
    Insurance services                              51,011      47,822
    Financial services                              24,883      25,740
    Charges for the use of                          41,983      39,858
    intellectual property n.i.e.
    Telecommunications, computer,                   36,502      36,270
    and information services
    Other business services                         94,771      99,665
    Government goods and                            24,236      21,592
    services n.i.e.
  Primary income payments                          606,573     602,023
    Direct investment income                       198,107     170,380
    Portfolio investment income                    377,539     398,379
    Other investment income                         13,869      14,967
    Compensation of employees                       17,059      18,297
    Secondary income (current                      234,317     241,214
    transfer) payments
                         Balances
Balance on current account                        -373,800    -434,598
  Balance on goods                                -751,494    -761,855
  Balance on services                              261,157     261,410
  Balance on primary income                        210,774     180,962
  Balance on secondary income                      -94,238    -115,116

                                               2016   2017 (p)   Change
                                                                 2016 to
                                                                 2017
                         Current account
Exports of goods and services             3,157,241  3,408,188  250,947
and income receipts (credits)
  Exports of goods                        1,455,704  1,550,720   95,016
    Foods, feeds, and beverages             130,555    132,917    2,362
    Industrial supplies and                 386,767    453,735   66,968
    materials
    Capital goods except automotive         519,839    533,098   13,259
    Automotive vehicles, parts,             150,313    157,554    7,241
    and engines
    Consumer goods except food              193,440    197,271    3,831
    and automotive
    Other general merchandise                53,948     54,357      409
    Net exports of goods under                  301        241      -60
    merchanting
    Nonmonetary gold                         20,542     21,548    1,006
  Exports of services                       752,368    780,879   28,511
    Maintenance and repair                   25,628     25,916      288
    services n.i.e.
    Transport                                84,318     86,548    2,230
    Travel (for all purposes including      205,940    203,696   -2,244
    education)
    Insurance services                       16,348     17,815    1,467
    Financial services                       98,180    106,424    8,244
    Charges for the use of intellectual     124,453    127,935    3,482
    property n.i.e.
    Telecommunications, computer,            36,455     38,937    2,482
    and information services
    Other business services                 142,231    154,458   12,227
    Government goods and services            18,814     19,150      336
    n.i.e.
  Primary income receipts                   813,977    926,862  112,885
    Direct investment income                444,038    507,029   62,991
    Portfolio investment income             324,051    351,419   27,368
    Other investment income                  39,233     61,393   22,160
    Reserve asset income                        108        399      291
    Compensation of employees                 6,547      6,622       75
  Secondary income (current                 135,192    149,728   14,536
  transfer) receipts
Imports of goods and services and         3,608,926  3,874,434  265,508
income payments (debits)
  Imports of goods                        2,208,211  2,361,932  153,721
    Foods, feeds, and beverages             131,046    138,831    7,785
    Industrial supplies and materials       441,834    512,036   70,202
    Capital goods except automotive         593,902    643,695   49,793
    Automotive vehicles, parts,             351,050    359,908    8,858
    and engines
    Consumer goods except food              585,363    604,245   18,882
    and automotive
    Other general merchandise                86,858     91,015    4,157
    Nonmonetary gold                         18,159     12,203   -5,956
  Imports of services                       504,654    538,108   33,454
    Maintenance and repair services           8,810      8,559     -251
    n.i.e.
    Transport                                96,827    101,218    4,391
    Travel (for all purposes including      123,618    135,209   11,591
    education)
    Insurance services                       48,077     49,698    1,621
    Financial services                       25,629     27,986    2,357
    Charges for the use of                   44,392     48,354    3,962
    intellectual property n.i.e.
    Telecommunications, computer,            36,851     40,221    3,370
    and information services
    Other business services                  98,922    104,773    5,851
    Government goods and                     21,528     22,093      565
    services n.i.e.
  Primary income payments                   640,751    709,864   69,113
    Direct investment income                185,211    201,969   16,758
    Portfolio investment income             409,152    438,863   29,711
    Other investment income                  26,245     47,995   21,750
    Compensation of employees                20,143     21,036      893
    Secondary income (current               255,309    264,530    9,221
    transfer) payments
                         Balances
Balance on current account                 -451,685   -466,246  -14,561
  Balance on goods                         -752,507   -811,212  -58,705
  Balance on services                       247,714    242,770   -4,944
  Balance on primary income                 173,225    216,998   43,773
  Balance on secondary income              -120,117   -114,802    5,315

(p) Preliminary
Note. The statistics are presented in table 1.2 on BEA's Web site.

Table G. Capital and Financial Accounts and Statistical Discrepancy
[Millions of dollars]

                                                   2014       2015

                          Capital account
Capital transfer receipts                             0          0
and other credits
Capital transfer payments                            45         42
and other debits
                          Financial account
Net U.S. acquisition of financial assets        818,784    194,205
excluding financial derivatives
(net increase in assets / financial
outflow (+))
  Direct investment assets                      338,853    311,139
    Equity                                      330,364    296,487
      Equity other than reinvestment             18,791      5,572
      of earnings
      Reinvestment of earnings                  311,574    290,915
    Debt instruments                              8,488     14,651
  Portfolio investment assets                   582,677    160,410
    Equity and investment fund shares           431,625    196,922
    Debt securities                             151,052    -36,511
      Short term                                 11,378     43,048
      Long term                                 139,674    -79,559
  Other investment assets                       -99,162   -271,052
    Currency and deposits                      -161,750   -201,635
    Loans                                        68,411    -67,715
    Trade credit and advances                    -5,824     -1,702
  Reserve assets                                 -3,583     -6,292
    Monetary gold                                     0          0
    Special drawing rights                           23          9
    Reserve position in the                      -3,849     -6,485
    International Monetary Fund
    Other reserve assets                            243        185
Net U.S. incurrence of liabilities            1,091,350    502,112
excluding financial derivatives
(net increase in liabilities /
financial inflow (+))
Direct investment liabilities                   237,655    506,161
    Equity                                      146,413    390,160
      Equity other than reinvestment             51,570    309,413
      of earnings
      Reinvestment of earnings                   94,842     80,747
    Debt instruments                             91,242    116,001
  Portfolio investment liabilities              703,480    213,977
    Equity and investment fund shares
                                                154,311   -187,306
    Debt securities                             549,170    401,284
      Short term                                 22,328     45,897
      Long term                                 526,841    355,387
  Other investment liabilities                  150,214   -218,027
    Currency and deposits                        59,723     36,228
    Loans                                        77,891   -262,615
    Trade credit and advances                    12,600      8,360
    Special drawing rights allocations                0          0
Financial derivatives other than                -54,270    -25,248
reserves, net transactions
                          Statistical
                          discrepancy
Statistical discrepancy (1)                      47,009    101,486
                          Balances
Balance on capital account                          -45        -42
Net lending (+) or net borrowing (-)           -373,845   -434,641
from current- and capital-account
transactions (2)
Net lending (+) or net borrowing (-)           -326,836   -333,155
from financial-account transactions (3)

                                                    2016    2017 (p)

                          Capital account
Capital transfer receipts                              0      24,868
and other credits
Capital transfer payments                             59          21
and other debits
                          Financial account
Net U.S. acquisition of financial assets         347,891   1,212,361
excluding financial derivatives
(net increase in assets / financial
outflow (+))
  Direct investment assets                       311,581     424,418
    Equity                                       329,732     374,916
      Equity other than reinvestment              31,138      30,332
      of earnings
      Reinvestment of earnings                   298,594     344,584
    Debt instruments                             -18,151      49,502
  Portfolio investment assets                     40,638     589,516
    Equity and investment fund shares             14,423     193,795
    Debt securities                               26,215     395,721
      Short term                                 -21,073     176,412
      Long term                                   47,288     219,309
  Other investment assets                         -6,418     200,117
    Currency and deposits                        -89,663     148,747
    Loans                                         82,338      46,920
    Trade credit and advances                        907       4,449
  Reserve assets                                   2,090      -1,690
    Monetary gold                                      0           0
    Special drawing rights                           684          78
    Reserve position in the                        1,348      -1,812
    International Monetary Fund
    Other reserve assets                              58          44
Net U.S. incurrence of liabilities            1  741,393   1,587,915
excluding financial derivatives
(net increase in liabilities /
financial inflow (+))
Direct investment liabilities                    479,415     348,674
    Equity                                       351,769     293,684
      Equity other than reinvestment             254,097     185,210
      of earnings
      Reinvestment of earnings                    97,672     108,475
    Debt instruments                             127,645      54,989
  Portfolio investment liabilities               237,367     837,051
    Equity and investment fund shares
                                                -141,078     166,825
    Debt securities                              378,445     670,225
      Short term                                  -8,582      37,934
      Long term                                  387,027     632,291
  Other investment liabilities                    24,612     402,191
    Currency and deposits                         19,654     236,480
    Loans                                         -2,310     147,616
    Trade credit and advances                      7,268      18,095
    Special drawing rights allocations                 0           0
Financial derivatives other than                  15,817      26,363
reserves, net transactions
                          Statistical
                          discrepancy
Statistical discrepancy (1)                       74,059      92,208
                          Balances
Balance on capital account                           -59      24,847
Net lending (+) or net borrowing (-)            -451,744    -441,399
from current- and capital-account
transactions (2)
Net lending (+) or net borrowing (-)            -377,685    -349,191
from financial-account transactions (3)

                                                     Change
                                               2016 to 2017

                          Capital account
Capital transfer receipts                            24,868
and other credits
Capital transfer payments                               -38
and other debits
                          Financial account
Net U.S. acquisition of financial assets            864,470
excluding financial derivatives
(net increase in assets / financial
outflow (+))
  Direct investment assets                          112,837
    Equity                                           45,184
      Equity other than reinvestment                   -806
      of earnings
      Reinvestment of earnings                       45,990
    Debt instruments                                 67,653
  Portfolio investment assets                       548,878
    Equity and investment fund shares               179,372
    Debt securities                                 369,506
      Short term                                    197,485
      Long term                                     172,021
  Other investment assets                           206,535
    Currency and deposits                           238,410
    Loans                                           -35,418
    Trade credit and advances                         3,542
  Reserve assets                                     -3,780
    Monetary gold                                         0
    Special drawing rights                             -606
    Reserve position in the                          -3,160
    International Monetary Fund
    Other reserve assets                                -14
Net U.S. incurrence of liabilities                  846,522
excluding financial derivatives
(net increase in liabilities /
financial inflow (+))
Direct investment liabilities                      -130,741
    Equity                                          -58,085
      Equity other than reinvestment                -68,887
      of earnings
      Reinvestment of earnings                       10,803
    Debt instruments                                -72,656
  Portfolio investment liabilities                  599,684
    Equity and investment fund shares
                                                    307,903
    Debt securities                                 291,780
      Short term                                     46,516
      Long term                                     245,264
  Other investment liabilities                      377,579
    Currency and deposits                           216,826
    Loans                                           149,926
    Trade credit and advances                        10,827
    Special drawing rights allocations                    0
Financial derivatives other than                     10,546
reserves, net transactions
                          Statistical
                          discrepancy
Statistical discrepancy (1)                          18,149
                          Balances
Balance on capital account                           24,906
Net lending (+) or net borrowing (-)                 10,345
from current- and capital-account
transactions (2)
Net lending (+) or net borrowing (-)                 28,494
from financial-account transactions (3)

(p) Preliminary
(1.) The statistical discrepancy is the difference between net
acquisition of assets and net incurrence of liabilities in the
financial account (including financial derivatives) less the difference
between total credits and total debits recorded in the current and
capital accounts.
Note. The statistics are presented in table 1.2 and table 6.1 on BEA's
Web site.
(1.) For more information, see "U.S. International Transactions: Third
Quarter of 2017," Survey of Current Business 97 (January 2018).
(2.) See note 1 above.