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Sluggish demand in the third quarter continued into the early part of the current period, FAO said in a statement.
Sluggish demand for products in the autumn and early holiday catalogs hurt sales, forcing price markdowns and more advertising.
Sluggish demand abroad has diminished the appetite for American exports and choked off another potential avenue for growth.
Sluggish demand and heated competition in this segment of the American market has forced FedEx to forgo the rate increases that are helping its other segments grow.
Sluggish demand for goods from the troubled euro zone, Britain's largest export market, is keeping many companies from investing in new machinery or hiring staff.
Sluggish demand for computers led to a loss at Circuit City's electronics stores, which are being remodeled after the retailer exited the appliance business last year.
The company cited sluggish demand for consumer devices.
"Policy should use all prudent measures to support sluggish demand," the report said.
But with the prospect of a sluggish demand for air travel, the strategy showed its limits.
Second, sluggish demand overseas is a big cause of the deficit, so it is reversible.
Japanese steel makers are also looking to expand overseas, motivated particularly by sluggish demand at home.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com