Statistics Canada announced that Canada’s merchandise exports decreased 5.5% in February, while imports were up 0.8%.
As a result, Canada’s merchandise trade balance with the world went from a surplus of $3.1 billion in January to a deficit of $1.5 billion in February.
After increasing 15.9% from September 2024 to January 2025, total exports decreased 5.5% in February. Overall, declines were observed in 10 of the 11 product sections. Exports of energy products (-6.3%) posted the largest decline in February, the first decrease since September 2024. After reaching their highest level since 2000 in January, exports of motor vehicles and parts decreased 8.8% in February.
The largest contributors to the increase of imports in February were imports of motor vehicles and parts (+5.8%), industrial machinery, equipment and parts (+3.1%), energy products (+5.2%) and metal and non-metallic mineral products (+3.5%).
After rising for three consecutive months and reaching a record high in January, exports to the United States were down 3.6% in February, representing a decrease of $2.1 billion. Meanwhile, imports rose 2.5% in February. As a result, Canada’s merchandise trade surplus with the United States went from a record of $13.7 billion in January to $10.6 billion in February.
Exports to countries other than the United States fell 12.4% in February, representing a decline of $2.0 billion. Lower exports to the United Kingdom (unwrought gold) and Germany (various products) were partially offset by higher exports to South Korea (various products). Imports from countries other than the United States were down 2.0% in February. Canada’s trade deficit with countries other than the United States widened from $10.6 billion in January to a record $12.1 billion in February.
