Glossary term

Balance of Trade

The difference between the value of a country’s exports and its imports of goods over a period.

A country’s exports of goods minus its imports, over a given period. A surplus means exports exceed imports; a deficit means the reverse.

It is a national statistic rather than anything that governs a shipment, but it shapes the policy environment shipments move through: pressure on a trade balance is often what precedes tariff changes, import restrictions or currency measures.