Canadian Trade Surplus Widens In January


Canada's merchandise trade surplus widened to CAD 0.81 billion in January 2017 from a downwardly revised CAD 0.45 billion a month earlier and above market expectations of a CAD 0.7 billion surplus. Exports were up 0.5 percent to a record CAD 46.5 billion on higher sales of motor vehicles and canola. Imports decreased 0.3 percent to CAD 45.6 billion, mainly due to lower purchases of unwrought gold.

Exports rose 0.5 percent to a record CAD 46.5 billion. Higher exports of motor vehicles and parts (7.7 percent), as well as farm, fishing, and intermediate food products (12.8 percent) were the largest contributors to the increase. Also, canola exports jumped 38.4 percent to a record high of  CAD 845 million, reflecting higher Chinese demand for Canadian canola.

These increases were partially offset by declines in exports of consumer goods, as well as metal and non-metallic mineral products. In January, exports excluding energy products rose 0.9 percent.

Exports to the United States rose 2.3 percent to CAD 34.6 billion, led by higher exports of passenger cars and light trucks. Exports to countries other than the United States fell 4.4 percent to CAD 11.8 billion. Lower exports to Switzerland (-CAD 298 million) and Spain (-CAD 200 million) contributed to the decline, both due to fewer aircraft sales.

Total imports edged down 0.3 percent to CAD 45.6 billion. The decline in imports of metal and non-metallic mineral products (-5.5 percent), as well as industrial machinery, equipment and parts was partially offset by higher imports of motor vehicles and parts (3.6 percent). 

Imports from the United States went up 0.3 percent to CAD 30.1 billion. Imports from countries other than the United States decreased 1.3 percent to CAD 15.5 billion. Imports from Japan fell 27.2 percent, on lower purchases of passenger cars and light trucks.

Year-over-year, exports rose 1.8 percent while imports were down 2.1 percent.


Statistics Canada | Yekaterina Guchshina | yekaterina@tradingeconomics.com
3/7/2017 2:03:05 PM