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 trade volume of the United States with China reached nearly USD 442 billion in the first 9 month exceeding the USD 438 billion America-Canada trade, state media reported.
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.
Last year, the China-US trade touched USD 590.7 billion with China's exports accounting for USD 466.7 billion against US exports to China USD 124 billion.
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.
The US alleges that China is making excessively claiming nearly all of the South China Sea as its territory. Several other nations, including Malaysia and Vietnam, claim parts of the disputed region.
China is also America's biggest lender by investing about USD 1.20 trillion of its foreign exchange in US bonds.