Canada's Trade Surplus Narrows in January


Canada's merchandise exports declined 2.3% and imports edged down 0.6%. As a result, Canada's trade surplus narrowed from $2.9 billion in December 2011 to $2.1 billion in January 2012. This was the third consecutive monthly trade surplus.

Exports decreased to $41.4 billion in January, as prices fell 2.2%. Lower exports of precious metals and alloys as well as aircraft, engines and parts largely contributed to the decline in value. Higher exports of crude petroleum partially offset the decrease in exports.

Imports decreased to $39.3 billion in January, as six out of seven sectors posted declines. Industrial goods and materials, followed by energy products, contributed the most to the decrease. Overall, import prices fell 0.8%.

Exports to the United States edged up 0.3% to $30.6 billion in January, largely on the strength of crude petroleum. Imports from the United States declined 0.3% to $24.5 billion. Consequently, Canada's trade surplus with the United States increased from $5.9 billion in December to $6.1 billion in January.

Exports to countries other than the United States fell 9.0% to $10.8 billion in January, mainly the result of lower exports to the European Union and Japan. Imports from countries other than the United States decreased 0.9% to $14.8 billion. Canada's trade deficit with countries other than the United States increased from $3.0 billion in December to $4.0 billion in January.


TradingEconomics.com, Statistics Canada
3/9/2012 2:03:30 PM