[brad0]

There was another reply here earlier that was saying it isn't a trade deficit. I wanted to steelman the parent post:

Foreign investment into USA companies reduces the USA trade deficit but it isn't tracked in traditional methods.

I've heard that foreign investment in real estate generally isn't counted as each country owns properties equally between the two, so it nets out. I wonder if investments into companies is the same?

[chessgecko]

It is tracked! there are a few different numbers.

by the BEA: https://fred.stlouisfed.org/graph/?g=gX0f

by the treasury: https://ticdata.treasury.gov/resource-center/data-chart-cent...

It's a little hard to figure out how important it is, but there are "good" numbers.

[JumpCrisscross]

> Foreign investment into USA companies reduces the USA trade deficit

Other way. Foreign investment doesn’t touch the trade account but the capital account. When the company the foreign investor invested in buys stuff, that alters the trade balance depending on what they buy from whom.