16 October 2008

Merchandise imports see largest drop in nearly 17 years: StatsCan

The following was reported on in the 16 October 2008 edition of “Canadian Transportation & Logistics”.

Canada's merchandise imports declined 5.8% to $37.3 billion in August, the first decrease since March 2008, due to lower imports of energy and automotive products, according to a report from Statistics Canada. The decline in imports was the largest percentage drop since December 1991.

Total import volumes fell 6.9%, while prices increased 1.1%. At the same time, exports fell 1.6% to $43.1 billion, marking the first decline since December. Export volumes were down 1.5%, while export prices remained relatively unchanged. As a result, Canada's trade surplus with the world increased to $5.8 billion in August from $4.2 billion in July.

Merchandise trade with the US declined on both fronts. Exports fell 3.9% to $32.5 billion, primarily due to energy products, while imports decreased 5.8% to $23.9 billion.

Overall, the trade surplus with the US expanded to $8.6 billion from $8.4 billion in July. Exports to countries other than the US increased 6.0%, while imports from these countries as a group declined 5.9%. Consequently, Canada's trade deficit with countries other than the US narrowed to $2.8 billion in August from $4.2 billion in July.