The value of a country's exports minus its imports of goods and services is called its trade balance.
Exports are goods and services sold to buyers abroad, while imports are purchases from foreign producers. Subtracting imports from exports gives the balance: a positive result is a trade surplus, and a negative result is a trade deficit. The calculation can cover goods alone or goods and services together, depending on the statistic being discussed.
Trade balance is narrower than balance of payments, which records a country’s broader international transactions, including financial flows. It is also different from the current account, which generally includes the trade balance plus net primary income and transfers. Fiscal deficit, meanwhile, concerns government revenue and spending rather than international commerce.
In national-accounting terms, net exports are an expenditure component of GDP. Imports are subtracted because their value may already be included in consumption, investment, or government spending.