1st LD Writethru: Japan's trade deficit hits record 12.78 trillion yen in 2014

Japan's trade deficit hit record 12. 78 trillion yen (about 109 billion U.S. dollars) in the year of 2014, up 11.4 percent from the previous year, government data showed Monday.

It was the worst reading since comparable data became available in 1979, the Finance Ministry said in a preliminary report, adding that the balance of trade in goods registered in red ink for the fourth straight year.

In 2014, imports were up 5.7 percent from a year earlier to 85. 89 trillion yen on increased imports of liquefied natural gas and electric parts, while exports increased 4.8 percent to 73.11 trillion yen on the back of the weaker yen.

Japan's demand for natural resources has soured as a result of stalled nuclear power in the wake of the March 2011 Fukushima crisis. But some analysts said Japan's trade balance is likely to improve in the near future as the crude oil prices have plunged sharply.

In December alone, the country saw a trade deficit of 660.7 billion yen (5.6 billion dollars), the 30th straight month of shortfalls, but half the figure was from the previous year. Endi