The U.S. trade deficit has narrowed significantly, reaching its lowest point in nearly two years. In June, the deficit plummeted to $60.2 billion, a 16% decrease from previous figures, driven largely by a drop in imports. Tariffs implemented on Chinese goods have been cited as a contributing factor to this decline, causing a substantial drop in imports from China, which fell to a 16-year low. Analysts are observing that this contraction in the trade gap could provide a potential boost to second-quarter GDP.