China has become the biggest trade partner of America for the first time replacing Canada, state media here reported today citing the official US data.
The value of Canada's exports suffered due to a slump in oil prices which in turn reduced the value of Canadian exports, state-run People's Daily reported quoting US Commerce Department data.
Crude oil is among main exports of Canada, but its price plummeted in 2014, which made Canada's trade volume with the US fall 11.6 per cent from the same time last year even as the world's biggest economy buys more crude oil.
On the contrary China's exports to the US went up by 3.7 per cent as Americans continue to use more Chinese products.
The trade deficit went up to USD 342.7 billion.
China's exports mainly comprise of computer products, toys, home appliances, footwear, audio visual equipment, electronic components and plastic products.
US exports consisted of soybeans, aircraft, autos, waste and scrap, semiconductors, measuring instruments, communication equipment and meat and poultry.
Analysts said that the trade and investments links between the two countries are so strong that both will play safe to ensure the present round of military tensions over South China Sea will not escalate beyond a point.
China is also America's biggest lender by investing about USD 1.20 trillion of its foreign exchange in US bonds.