Canada Trade Surplus Widens

Canada's February trade surplus widened to the largest in nine months, led by increased exports of passenger cars and energy., Bloomberg 4/10/2008 7:13:02 AM

The surplus widened to C$4.94 billion ($4.84 billion) from a revised C$2.78 billion in January, Statistics Canada said today in Ottawa. Exports rose 3.8 percent, the fastest in 11 months, as energy sales abroad rose to a record.

Canada, the world's eighth-biggest economy, is benefiting from soaring demand for commodities such as oil and metals, helping the country offset a slump in manufacturing. The country is among the world's top 10 producers of oil and natural gas, as well as a major exporter of metals such as nickel.

Canada's currency was little changed at 8:43 a.m. in Toronto from C$1.0184 per U.S. dollar yesterday.

Imports fell 2 percent to C$34.4 billion as purchases of foreign energy products declined.

Measured by volume, exports rose 3.8 percent and imports fell 0.8 percent, the statistics agency said.

Automotive exports jumped 11 percent in February to C$5.6 billion, recovering from a drop the month before when sales were hurt by temporary plant shutdowns, the agency said. Energy exports rose 3.8 percent to a record C$9.7 billion.

The country's trade surplus with the U.S. surged to C$8.1 billion -- the widest since December 2006 -- from C$6.29 billion the previous month.

Canada Trade Surplus Widens