November trade deficit increases to $36.4 billion

WASHINGTON (AP) — The U.S. trade deficit jumped to the highest level in 10 months as an improving U.S. economy pushed up demand for imports. Exports rose as well, however, boosted by a weaker dollar, supporting the view that American manufacturers will be helped by a rebounding global economy.

The Commerce Department reported today that the trade deficit jumped 9.7 percent to $36.4 billion in November, a bigger imbalance than the $34.5 billion deficit economists had forecast.

Exports rose 0.9 percent, the seventh consecutive gain, as demand was up for American-made autos, farm products and industrial machinery. Imports, however, rose a much faster 2.6 percent, led by a 7.3 percent rise in petroleum imports.

The politically sensitive deficit with China narrowed by 10.8 percent in November to $20.2 billion as U.S. exports to China hit an all-time high. Through November, the deficit with China is still the largest the United States incurs with any country but it is down 15.9 percent from the same period in 2008.