Canada's merchandise trade increased substantially in March, with both imports and exports reaching record highs. Following a 4.8% increase in February, imports jumped a further 7.7% in March. Meanwhile, exports rose 6.3%, with energy products contributing more than half of the increase. As a result, Canada's merchandise trade surplus with the world narrowed from $3.1 billion in February to $2.5 billion in March.
Total imports rose 7.7% in March to a record high of $61.1 billion. Gains were observed in 9 of 11 product categories, with 8 posting increases of more than $100 million. In real (or volume) terms, total imports were up 7.0%. Imports from countries other than the United States were up 11.5% in March, reaching a record $24.5 billion. Imports from China (+29.4%) posted the largest gain by far.
Total exports increased by 6.3% to $63.6 billion in March, surpassing the previous record set in February by nearly $4 billion. Excluding energy products, exports were up 4.0% in March. Once again, higher prices were a key factor in the month, with total exports in real (or volume) terms up 1.1%. The price index for Canadian total exports has increased by more than 30% since January 2021.
Exports to the United States increased by 7.7% in March, largely because of higher exports of crude oil. Meanwhile, imports from the United States increased by 5.4%, mainly because of higher imports of energy products and motor vehicles and parts. As a result, Canada's trade surplus with the United States widened from $10.9 billion in February to a record $12.6 billion in March.
This is an excerpt from the Statistics Canada article: https://www150.statcan.gc.ca/n1/daily-quotidien/220504/dq220504a-eng.htm