Imports rose 2.7% in Dec. to $258.52b from $251.75b in Nov.

Exports rose 0.8% in Dec. to $209.64b from $208.06b in Nov.

This left the annual trade deficit at $616.755 billion - the first shrinkage of the trade deficit since 2013...

The annual merchandise-trade deficit with China -- the principal target of Trump's trade war -- narrowed 17.6% to $345.6 billion after hitting a record in 2018. Imports from the country slumped 16.2%, exceeding the drop in 2009 during the global financial crisis, while shipments to China declined 11.3%, the biggest drop since at least 2003.

That pushed China down to third place among America's top trading partners for goods in 2019, as Mexico vaulted to the top spot, slightly ahead of Canada.