Japan's trade surplus fell 26 percent in August from a year earlier to 576.1 billion yen, marking its first decline in 14 months as higher oil prices pushed up overall import prices, the Finance Ministry said Wednesday.

Despite a drop in the surplus, the nation's exports expanded 10.4 percent to 4.78 trillion yen, the highest level for August, spurred by brisk demand from China and other Asian markets, the ministry said in a preliminary report.

Imports grew 18.4 percent to 4.21 trillion yen, the second-highest level on record since 1947.