Trade deficit with US due to mineral fuel imports

The Netherlands has a structural trade deficit with the US, and has been importing more goods from America than it exports for many years. In the first three quarters of 2024, goods exports to the US were 40 percent higher than in the same period of 2019. Imports increased by 65 billion euros over the same period, however, adding significantly to the Netherlands’ trade deficit with the US. It is also interesting to note that the trade deficit in the first three quarters of 2023 was even larger, at 24 billion euros. Even after adjusting for import and export values for re-export flows, the trade deficit remains.

Trade deficit due to high import value of crude oil and natural gas

The increase in the trade deficit with the US is mainly due to a significantly higher import value in the category of mineral fuels, which includes crude oil and natural gas. Since Russia’s invasion of Ukraine in 2022, oil and gas imports from Russia have stopped and the US has become an important supplier. High energy price have also played a major role. Oil and gas are imported from the US but the Netherlands does not export these goods to the US, adding significantly to the negative trade balance.

Companies in the Netherlands imported 8.1 billion euros’ worth of crude oil from the US in the first three quarters of 2024. That represented 23 percent of all Dutch crude oil imports, making the US the Netherlands’ main supplier. The US also ranks in first place in terms of imports of medical instruments and devices, and medicinal and pharmaceutical products.

In 2019, imports of LNG (liquified natural gas) from the US were zero. In the first three quarters of 2024, by contrast, LNG was the Netherlands’ second most valuable import from the US at 4.2 billion euros. The Netherlands obtained 30 percent of all its natural gas from the US.

Germany has a large trade surplus with US

In the first three quarters of 2024, the main export markets for the US within the EU were the Netherlands, Germany, France, Belgium and Italy. In terms of US imports from the EU, the main EU suppliers to the US were Germany, Ireland, Italy, France and the Netherlands. Unlike the Netherlands, many other large EU member states actually have a trade surplus with the US. Germany's trade surplus with the US amounted to 68.8 billion euros in the first three quarters of 2024, mainly due to German exports of passenger cars and automotive parts and components. France, Ireland and Italy also had a positive trade balance with the US. Belgium, on the other hand, imported 5.6 billion euros more in goods from the US than it exported. US exports to Belgium included medical instruments and devices, and refined petroleum products, most notably.