MercoPress. South Atlantic News Agency

Latinamerica trade surplus with US expands 5.4%

Latinamerica and the Caribbean trade surplus with United States expanded 5.4% last January reaching 9.2 billion US dollars reported the US Department of Commerce.

In January 2005 the surplus was 6.8 billion US dollars.

Mexico's surplus with the US jumped from 4.263 billion last December to 4.637 billion US dollars in January. A year ago it was 2.9 billion US dollars.

Argentina which had a 30 million deficit last December managed a 26 million US dollars surplus in January, but a year ago the surplus was 115 million US dollars.

Brazil reported 609 and 623 million US dollars surpluses in December and January, but it was lower compared to January 2005 with 937 million US dollars.

Chile's December surplus of 412 million US dollars contracted to 362 million in January, compared to 352 million US dollars, January 2005.

Colombia's trade surplus with the US remained steady, 301 million and 311 million US dollars in December and January, compared to 214 million in Jan 2005.

Finally Venezuela one of the US main oil suppliers saw the trade surplus soar from 2.4 billion in December to 2.5 billion January. A year ago it was 1.9 billion US dollars.

Overall the US trade deficit hit a new record in January, 68.5 billion US dollars, breaking the previous record of 67.8 billion of last October. The value of imports rose 3.5% to 182.9 billion, eclipsing a 2.5% rise in US exports to 114.4 billion.

The increased cost of oil imports helped fuel the deficit rise, according to the figures released by the Commerce Department. The trade shortfall with Opec, the oil producers' organisation, rose by more than 11% to 8.4 billion. However, imports of a wide range of consumer and industrial goods, including food industrial supplies and cars, also hit record levels.

The deficit with China continues to grow amid persistent calls by Washington for China to further revalue its currency and the January trade gap with China rose 9.9% to 17.9billion.

Last year the US trade deficit hit an annual high of 723.6 billion and analysts are forecasting 800 billion for 2006.