U.S. Trade Deficit Hit Record in 2006

Click here to write a Letter to the Editor.
The U.S. trade deficit widened to a record for a fifth straight year in 2006 as purchases of Chinese goods and imported oil overwhelmed an increase in exports, the Commerce Department said Tuesday.The gap widened by 6.5% to $763.6 billion, while the shortfall rose to $61.2 billion in December from November, more than economists’ forecasts, Bloomberg reported.China replaced Mexico as America's second-largest trading partner behind Canada last year, intensifying some complaints from lawmakers that China is keeping its currency weak to spur exports, Bloomberg said.The deficit was also increased by higher crude oil prices, which hit a record last year, masking record U.S. shipments abroad.For the year, imports increased to a record $2.2 trillion from $1.99 trillion in 2005. Exports rose to a record $1.44 trillion, from $1.28 trillion in 2005.