Canadian exports hit record high in March as trade deficit narrows

Canadian exports hit record high in March

OTTAWA — The energy and consumer goods sectors helped Canadian exports rise to a record high in March as the country’s trade deficit narrowed to $135 million, Statistics Canada said Thursday.

Economists had expected a deficit of $800 million, according to Thomson Reuters.

“This is a solid report,” said Benjamin Reitzes, Canadian rates and macro strategist at BMO Capital Markets.

The shortfall followed a revised deficit of $1.1 billion for February compared with an initial reading of a deficit of $972 million for the month.

Gains in eight of 11 sectors in March helped exports rise 3.8 per cent to $47.0 billion, while volumes gained 2.5 per cent and prices increased 1.3 per cent.

Driving the gain was a 7.0 per cent increase in energy exports to $8.7 billion. A boost in natural gas exports attributable to cold temperatures in the northeastern United States and increased coal exports to Asia were both factors.

“Combined with a continued creep higher in crude prices, look for energy to continue being a catalyst in supporting Canadian exports,” CIBC economist Nick Exarhos wrote in a report.

Consumer goods exports also gained ground, climbing 6.8 per cent to $6.1 billion. Exports of other food products led the increase with a gain of 11.9 per cent to a record $1.4 billion, boosted by exports of yellow peas and red lentils to India.

On the other side of the equation, imports increased 1.7 per cent to $47.1 billion with gains in seven of 11 sectors. Prices rose 1.9 per cent and volumes fell 0.2 per cent.

Statistics Canada said higher imports of metal and non-metallic mineral products, industrial machinery, equipment and parts, and motor vehicles and parts were the main contributors.

Metal and non-metallic mineral product imports grew 10.4 per cent to $4.0 billion as unwrought precious metals and precious metal alloys rose 61.1 per cent.

Imports of industrial machinery, equipment and parts increased 4.1 per cent to $4.4 billion, while motor vehicles and parts gained 1.5 per cent to reach a record high $9.3 billion.

On a regional basis, Canada’s trade surplus with the United States slipped to $4 billion in March compared with $4.5 billion in February.

Exports to the United States edged up 0.1 per cent to $34.4 billion, while imports from the United States increased 2.0 per cent to $30.4 billion.

Meanwhile, Canada’s trade deficit with countries other than the United States narrowed to $4.1 billion in March from $5.6 billion in February.

Craig Wong, The Canadian Press

Just Posted

Trail military exercises provide crucial training

Exercise Sapper Crucible: ‘The nuts and bolts of what a soldier is’

VIDEO: SPCA ushers in new era with Castlegar facility

$2.69-million project had ribbon cutting on Friday

Thrums, Riondel, and Slocan, revisited

Place Names: Scottish author delighted by Thrums name origin

Last stand for Silver City summer

Fall officially arrives in Trail at 6:54 p.m. on Saturday

Tell the Times

Web Poll: Will you be attending a candidates forum in the Trail area?

CUTENESS OVERLOAD: 2 sea otters hold hands at the Vancouver Aquarium

Holding hands is a common – and adorable – way for otters to stay safe in the water

B.C. nanny charged with sex abuse of 3 children

Saanich Police seek potential victims of Johnathon Lee Robichaud from Central Saanich

‘I’m no quitter’ on climate change issues, McKenna says at G7 ministers meeting

David Suzuki says if McKenna believes what she’s saying, she too should quit

VIDEO: Inside an eerily empty mall in Canada

Only seven of 517 retail spaces are open for business as the grand opening postponed to next year

B.C. wildfires burned large areas affected by mountain pine beetles: Experts

The mountain pine beetle epidemic affected more than 180,000 square kilometres in B.C.

Tens of thousands without power following tornado in Ottawa region

Hydro Ottawa says more than 170,000 customers were without power early this morning

BALONEY METER: Do Liberal policies mean a typical family is $2,000 richer?

MPs took to Twitter to talk how ‘typical’ Canadian families have more money due to Liberal policies

B.C. premier apologizes for removal of 1950s totem pole at Canada-U.S. border

First Nations say pole was raised at Peace Arch but removed to make way for tourism centre

Tornado touches down in Ottawa and Gatineau, Que.

Environment Canada says cars and homes have been damaged by severe thunderstorms and high wind gusts

Most Read