Canada Trade Gap Widens in January


Canada's merchandise trade deficit increased to CAD 0.66 billion in January of 2016 from an upwardly revised CAD 0.63 billion gap in December while below market expectations. Exports rose 1.0 percent and imports increased 1.1 percent, boosted by gains in motor vehicles and parts and consumer goods.

Total exports increased 1.0 percent to a record $46.0 billion in January. Exports of consumer goods rose 13.7 percent, driven by miscellaneous goods and supplies (+52.3 percent, led by articles of precious metal) and pharmaceutical and medicinal products (+30.9 percent). Exports of motor vehicles and parts increased 7.2 percent, as passenger cars and light trucks rose 5.9 percent, the fourth consecutive monthly increase. Moderating these gains, exports of aircraft and other transportation equipment and parts fell 35.2 percent, dragged down by aircraft (-74.2 percent). Also, exports of energy products declined 7.7 percent.

Total imports were up 1.1 percent to $46.7 billion, as 9 of 11 sections increased. Imports of motor vehicles and parts were up 3.3 percent to a record $9.0 billion, as motor vehicle engines and motor vehicle parts were up 8.2 percent, the fourth consecutive monthly gain. Imports of consumer goods rose 1.8 percent, led by pharmaceutical and medicinal products (+2.7 percent), meat products (+9.4 percent), and clothing, footwear and accessories (+2.2 percent). In contrast, imports of aircraft and other transportation equipment and parts declined 16.1 percent.

Year over year, imports rose 4.4 percent and exports were up 7.3 percent.

 Canada Trade Gap Widens in January


Statistics Canada | Yekaterina Guchshina | yekaterina@tradingeconomics.com
3/4/2016 2:30:20 PM