The U.S. trade deficit hit a new record of 725.8 billion dollars in 2005, up 17.5 percent from the previous record of 617.6 billion dollars set in 2004, the Commerce Department reported Friday.

This was the fourth straight year that the nation's trade deficit, the gap between what America sells abroad and what it imports, hit a record.

Data released by the department showed that America's imports surged 12.9 percent last year to an all-time high of 2 trillion dollars while its exports grew by only 5.7 percent. But the 5.7 percent rise pushed exports to a record high of 1.27 trillion dollars last year.

In the final month of last year, the U.S. trade deficit increased by 1.5 percent to 65.7 billion dollars. That was the third-highest monthly record.

Data also showed that last year's rise in trade deficit was contributed mainly by a 39.4 percent jump in petroleum imports, which totaled 251.6 billion dollars. The price of oil imports advanced to an all-time high last year.

America's trade deficit set a record of 92.7 billion dollars, up 29.1 percent, with the Organization of Petroleum Exporting Countries.

At the same time, imports of cars, food products and other consumer goods also rose to all-time highs last year, reflecting American consumers' strong demand of foreign goods.

Source: Xinhua