Courtney Agencies Ltd. provides a weekly industry news update to its clients.
Please click here to receive this update by email.
September 6, 2018
Canada's trade deficit narrows to $114 million in July
Statistics Canada announced that the country's merchandise trade deficit with the world narrowed from $743 million in June to $114 million in July, the smallest deficit since the most recent surplus in December 2016.
The federal agency reports that total exports increased 0.8% to a record $51.3 billion, despite declines in 6 of 11 product sections. Exports of energy products rose 5.0% to $10.3 billion, the highest level since September 2014. Exports of motor vehicles and parts increased by 3.4% in July to $8.0 billion, primarily on the strength of higher exports of passenger cars and light trucks (+3.8%).
Total July imports declined 0.4% to $51.4 billion. Imports of aircraft and other transportation equipment and parts fell 15.6% to $1.8 billion in July, following a 14.1% decrease in June. Following a 15.8% increase in June, imports of metal ores and non-metallic minerals fell 13.9% in July to $1.2 billion. These decreases were partially offset by an 8.8% increase in imports of energy products, following a 13.4% decline in June.
On a per country basis, Canada's trade deficit with countries other than the United States widened from $4.8 billion in June to $5.5 billion in July. After reaching a record high in June, exports to countries other than the United States fell 6.0% to $12.8 billion. Several countries contributed to the decline in July, including Japan, Germany, Mexico, India and Saudi Arabia. Imports from countries other than the United States fell 1.0% to $18.3 billion in July. Lower imports from Belgium (pharmaceutical and medicinal products), Japan (various products) and Saudi Arabia (crude oil) were mainly behind this decline.
Exports to the United States rose 3.3% to $38.4 billion in July, while imports from the United States edged down 0.1% to $33.1 billion. Consequently, Canada's trade surplus with the United States widened from $4.1 billion in June to $5.3 billion in July, the largest trade surplus observed since October 2008.
|Copyright 2006. All Rights Reserved.|