January 2026
The Undersung Success of U.S. Services Sales
Washington policymakers often focus on the U.S. goods trade deficit, but it’s the nation’s services sector that remains a powerhouse of global commerce.
According to 2023 data from the Bureau of Economic Analysis, U.S.-based companies generated $3.05 trillion in services both through trade and through their foreign affiliates, significantly outperforming the $1.97 trillion in services imports and payments. Because many services require local delivery, the majority of these sales occur through foreign affiliates of U.S. multinational companies.
The United Kingdom was the primary market for these exports at $456 billion in 2023. Ireland ($328 billion) and Canada (over $250 billion) rounded out the top three U.S. services sales markets the same year.
Information services, wholesale trade, and finance and insurance represented the largest industry sectors in 2023.
However, this important economic engine faces growing risks because of the Trump Administration’s aggressive trade policy. These policies risk “tit-for-tat” retaliation from trading partners, introducing economic uncertainty and market instability, potentially stifling future growth in this critical sector.
Source: Bureau of Economic Analysis