Canada’s international trade deficit narrowed to $323 million in November as both imports and exports rose during the month.
Statistics Canada said that the country’s exports increased 2.2% and imports rose 1.8% during November, leading to the merchandise trade deficit declining from $544 million in October 2024.
The depreciation of the Canadian dollar in recent months has impacted both imports and exports, said the statistics agency.
The average value of the Canadian dollar decreased by 2.2 cents U.S. in October and November, prompting a 3.9% rise in exports and a 2.2% increase in imports during that time.
Regarding exports, November’s gain was broad-based with nine of 11 product categories increasing. Exports of consumer goods rose 4.4%, a second consecutive monthly increase.
At the same time, exports of energy products increased 2.1% in November, mostly because of higher exports of crude oil (up 4.8%), which grew due to higher prices.
After edging up 0.3% in October, total imports into Canada rose 1.8% in November.
The largest contributors to the monthly increase were imports of consumer goods (up 3.8%), basic and industrial chemical, plastic and rubber products (up 4.3%), and industrial machinery, equipment and parts (up 3%).
Canada’s trade surplus with the U.S. widened in November even as the deficit with other countries around the world grew larger.
Canada’s exports to America rose 6.8% in November, while imports increased 4.1%.
As a result, Canada’s trade surplus with the U.S. widened to $8.2 billion in November from $6.6 billion in October of last year.
Exports to countries other than the U.S. decreased 10.3% in November, driven by lower exports of unwrought gold to Hong Kong and nickel to Norway.