Japan's trade surplus in October shrank 24.8 percent to 614.7 billion yen from the same month last year due to weaker growth in exports to the United States, the Finance Ministry said Wednesday. The decline in the surplus was the first in three months.

Exports to the U.S., though still rising, are growing more slowly as the U.S. economy slows. The U.S., Japan's key overseas market for automobiles and consumer electronics, grew an annualized 1.6 percent in the July-September quarter, its slowest pace since the first quarter of 2003.

Exports were a key driver of Japan's economic expansion in the third quarter, helping the economy grow at an annualized 2 percent.

Although smaller, the surplus, led by automobile and steel exports, is expected to continue to spur the economy in the October-December quarter.

Exports rose 11.6 percent from the same month last year to 6.59 trillion yen, while imports climbed 17.4 percent to a record 5.97 trillion yen.

Exports to the U.S. rose 13.5 percent to 1.52 trillion yen, down from the 20.5 percent growth in September, due to slowing demand for automobiles. Exports to the European Union grew 8.7 percent to 916 billion yen, after jumping 14.2 percent in September. Shipments to China increased 18.4 percent to 983 billion yen, after climbing 19.7 percent in the previous month.

Meanwhile, overall imports rose 17.4 percent to a record 5.97 trillion yen due to surging prices for imported natural gas and higher crude oil prices.

The trade deficit with China expanded 23.7 percent to 272 billion yen as imports rose by 19.5 percent to 1.25 trillion yen on higher demand for clothing.

According to the ministry, the average price of crude oil rose 7.5 percent to $64.4 per barrel.