Mar 2017 Financial News

Canada starts year with higher trade surplus

Mar 09, 2017

Canada kicked off 2017 with a third trade surplus in a row in January, the government statistics agency said Tuesday.

Canada’s trade surplus with the world rose to Can$807 million (US$602 million) in January, Statistics Canada said.

Analysts were expecting a slightly higher surplus.

The gap in December was Can$447 million (US$333 million), which was revised downward since the last reporting.

According to the government agency, strong auto parts and canola exports pushed up total exports by 0.5 per cent, while imports were dragged down 0.3 per cent mainly by lower imports of unwrought gold.

Total exports rose to a record Can$46.5 billion (US$35 billion) in January, despite declines in several sectors.

In addition to auto parts, record foreign sales of agricultural, fishing and other food products were the largest contributors to the increase.

Chinese demand also drove increased Canola exports, which have doubled since October 2016.

Exports of consumer goods, meanwhile, as well as metal and non-metallic mineral products fell in the month. In the other direction, imports edged down to Can$45.6 billion (US$34 billion).

Statistics Canada also noted higher imports of auto parts mostly from Britain and the United States. AP

Source:
Business Guardian, BG23
Thursday March 9, 2017