Canada's Trade Deficit Narrows in July


Canada's merchandise exports rose 2.2% and imports edged up 0.5% in July. As a result, Canada's trade deficit with the world narrowed from $1.4 billion in June to $753 million in July.

Exports increased to $37.3 billion, as volumes rose in most sectors. Overall, volumes rose 4.1%, while prices declined 1.9%. Machinery and equipment, automotive products, and industrial goods and materials were the main contributors to the gain in the value of exports.

Imports grew slightly to $38.0 billion as prices increased 0.9% and volumes decreased 0.4%. In July, imports from Japan surpassed $800 million, a level similar to those observed prior to the earthquake and tsunami in March.

Imports from the United States rose 3.1% to $23.6 billion in July. Exports were up 2.1% to $27.0 billion. Canada's trade surplus with the United States went from $3.5 billion in June to $3.4 billion in July.

Imports from countries other than the United States fell 3.6% to $14.4 billion. Exports to countries other than the United States increased 2.4% to $10.3 billion. Consequently, Canada's trade deficit with countries other than the United States narrowed from $4.9 billion in June to $4.1 billion in July.


TradingEconomics.com, Statistics Canada
9/8/2011 1:42:54 PM