U.S. Trade Deficit in January Largest since 2012

The U.S. trade gap shot up at the start of the year to hit its highest monthly level in almost five years, the Commerce Department reported Tuesday.

The data showed trade was robust, with exports and imports  of goods and services hitting their highest levels for a single month since December 2014.

The trade deficit jumped to $48.5 billion, a $4.2 billion increase from December and the highest since March 2012, driven in part by a $1.2 billion monthly drop in exports of civilian aircraft and engines. 

The result, a 9.6 percent monthly increase, was in line with analysts expectations.

The trade gap was up nearly 12 percent compared to January 2016, with an 8.3 percent increase in imports outstripping a 7.4 percent increase in exports.

The January increase continues the trend in 2016 which posted the highest annual trade deficit  in four years.

The figures could create additional fodder for President Donald Trump, who has railed against U.S. trade policy and free trade agreements. 

In a departure from its predecessors, the Trump White House has darkly portrayed trade deficits as a threat to national security and vowed aggressive actions to reduce it, and to upend prevailing trade policy by renegotiating or withdrawing entirely from international trade pacts.

The U.S. trade deficit in goods with China rose nearly 13 percent over December's level. Widening deficits were also recorded with Mexico and Saudi Arabia.