Canada's Trade Deficit Narrows in November

Canada's trade deficit with the world narrowed to $81 million in November from $1.5 billion in October., Statistics Canada 1/13/2011 2:23:00 PM

Canada's merchandise imports declined 3.2% to $34.4 billion in November, led by a 15.1% drop in volumes of energy products. Overall, import volumes fell 2.4% and prices, down 0.8%, decreased for a fourth consecutive month.

Energy products and machinery and equipment were the main factors behind the decrease in the value of imports. Conversely, imports of industrial goods and materials rose, as a result of solid gains in imports of precious metals.

Exports increased 0.8% to $34.3 billion, as prices, up 2.8%, rose in most sectors. Prices of industrial goods and materials increased 3.9% and led the growth in overall exports.

Export volumes fell 2.0%, with volumes of automotive products declining 10.0% as some plants closed temporarily in November.

Exports to the United States increased 0.6% while imports fell 5.1%, reflecting a drop in imports of automotive products. Consequently, Canada's trade surplus with the United States rose to $3.0 billion in November from $1.7 billion in October.

Exports to countries other than the United States grew 1.1%, a fifth consecutive month of increases, while imports remained virtually unchanged. As a result, Canada's trade deficit with countries other than the United States declined from $3.2 billion in October to $3.1 billion in November.