Statistics Canada says exports saw a slight decline and household spending slowed for a second straight quarter. (Photo by THE CANADIAN PRESS)

Statistics Canada reports trade deficit shrank to $3.2 billion in March

Mendes said a slowdown in exports in the first quarter appears to have been partially tied to oil production restraint in Alberta

Canada’s trade deficit shrank in March but not as much as expected as exports, led by the energy sector, climbed higher.

Statistics Canada said Thursday the merchandise trade deficit for March amounted to $3.2 billion compared with $3.4 billion in February.

Economists had expected a deficit of $2.45 billion, according to Thomson Reuters Eikon.

“The headline trade deficit looked ugly in March, but the details were at least slightly prettier,” CIBC economist Royce Mendes wrote in a report.

Mendes said a slowdown in exports in the first quarter appears to have been partially tied to oil production restraint in Alberta.

“But, even outside of that sector, growth in outbound shipments has been sluggish in recent years, suggesting the need for a weaker Canadian dollar over the medium-term to increase Canada’s international competitiveness,” he said.

Canadian exports rose 3.2 per cent to $49 billion.

READ MORE: BMO CEO says Canada’s economic growth ‘moderating’, but ‘no screeching halt’

The growth came as exports of energy products rose 7.7 per cent to $9.6 billion in March and motor vehicles and parts gained 5.6 per cent at $7.7 billion.

Meanwhile, imports rose 2.5 per cent to $52.3 billion, as consumer goods posted the largest increase.

Imports of consumer goods rose 6.7 per cent in March to a record $10.9 billion, boosted by imports of clothing, footwear and accessories. Imports of motor vehicles and parts rose 4.9 per cent to $9.9 billion.

Breaking down the trade figures by region, Canada’s trade deficit with countries other than the United States hit a record $6.8 billion in March compared with $6.4 billion in February.

Exports to countries other than the United States rose 8.8 per cent in March to $12.7 billion, while imports from those countries rose eight per cent in March to $19.5 billion.

Meanwhile, Canada’s trade surplus with the United States increased to $3.6 billion in March from $3 billion in February.

Exports to the United States rose 1.3 per cent to $36.4 billion, while imports from the United States fell 0.4 per cent.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Telkwa council cautiously vigilant on crime stats

Crime severity was up, but reporting changes may be the cause, mayor says

July 2019 for Smithers “almost record breaking” says climatologist

David Phillips could only find one year with both more total precipitation and number of wet days

All Nations Driving Academy gets $360K boost from province

Terrace-based driving school bridges gap in services for remote northwest B.C. communities

VIDEO and PHOTOS: Thursday at the Spirit of the North Classical Music Festival

A brass fanfare, Classics on Main and a family folk dance were among the events on Day 2 of the fest

Skeena Watershed reopened for recreational pink and coho

Four sections and tributaries remain closed

Disney Plus to launch in Canada in November

Analysts say latest streaming service may escalate cord cutting

B.C. manhunt suspects left cellphone video before they died: family

Family member says Kam McLeod, Bryer Schmegelsky recorded final wishes

Okanagan bus driver assaulted for asking patron not to smoke

59-year-old in hospital with non-life threatening injuries

B.C. sets rules for ride hailing, same minimum fee as taxis

Larger operating areas seen as threat by cab companies

Two hiking families team up to extinguish fire in B.C. backcountry

Children and their parents worked for three hours to ensure safety of the popular hiking region

Vancouver man arrested after pregnant woman’s SUV stolen, then crashed

Police are recommending charges against a 22-year-old Vancouver man

Elections Canada to assess ‘partisan’ climate change rhetoric case by case

People’s Party of Canada Leader Maxime Bernier has said climate change is not an emergency nor caused by human

Unseasonable snow forces campers out of northeastern B.C. provincial park

Storm brought as much as 35 centimetres of snow to the Fort Nelson, Muncho Lake Park-Stone Mountain Park

Most Read