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Canada trade surplus widens to C$4.2 billion in August
Exports rose 2.5% month over month and imports fell 2.0% for the first decline in seven months, with energy and electronics among the gainers.
Canada’s merchandise trade surplus widened sharply in August, rising from C$787 million to C$4.2 billion, extending a streak of monthly surpluses to six, according to Action Forex.
The data showed exports increasing 2.5% month over month after a 2.6% decline in July, while imports fell 2.0%, marking their first decrease in seven months. In real terms, export volumes were up 2.5% and import volumes were down 1.1%.
Action Forex reported that a stronger Canadian dollar restrained the reported Canadian-dollar figures, with exports up 4.0% and imports down 0.6% when expressed in US dollars. The export rebound was broad-based across 8 of 11 product categories, including energy exports up 4.7% and electronics and electrical equipment up 11.0%.
On the import side, imports were weighed down by an 8.8% drop in motor vehicles and parts, including a 15.4% fall in passenger cars and light trucks after a unusually strong July, Action Forex said. Even excluding autos, imports declined 0.5%.