Trade tensions between the United States and China continue to spur volatility.
President Trump's tariffs haven't closed the trade gap with China, which rose 11.6% to a record $419 billion in 2018.
The 9.5% monthly increase in the nominal U.S. trade deficit was the largest in three years.
Despite the March decline, the U.S. is still “on track to run another large trade gap in 2018 that exceeds the deficit in the prior year."
The December deficit was the largest since 2008 as robust domestic demand pushed imports to a record high of $256.5 billion.
The economy fell short of a third straight quarter of growth of 3% or more, in part because of a 13.9% surge in imports.
The commission recommends tariffs as high as 35% on low-cost imports, siding with solar manufacturers against the installation industry.
"Team Trump really has their work cut out for them if they are going to stick with the campaign pledge to double growth."
The stronger dollar, larger federal budget deficits, and low national saving rates could force further widening in the trade deficit.
The trade gap was less than economists expected and, with exports improving, trade may contribute to GDP in the second quarter.
Economists see trade subtracting at least seven-tenths of a percentage point from GDP growth in the first quarter.
