Canada posts largest merchandise trade deficit on record at $7.1B in April

Canada posted its largest merchandise trade deficit on record in April at $7.1 billion as exports fell sharply amid U.S. tariffs.

Statistics Canada said Thursday the April deficit followed a $2.3-billion shortfall in March.

Overall exports fell 10.8% in April to $60.4 billion, their lowest level since June 2023, as exports of motor vehicles and parts dropped 17.4%.

Exports of consumer goods also fell 15.4%, while exports of energy products dropped 7.9%.

Meanwhile, total imports fell 3.5% in April to $67.6 billion as imports of motor vehicles and parts declined 17.7% and industrial machinery, equipment and parts dropped 9.5%.

In real or volume terms, total exports fell 9.1% in April, while imports fell 2.9%.

Canada posted a merchandise trade surplus with the U.S. of $3.6 billion in April, the smallest surplus with its largest trading partner since December 2020. The result came as exports to the U.S. fell 15.7% and imports from the U.S. dropped 10.8%.

Meanwhile, Canada’s trade deficit with countries other than the U.S. was $10.7 billion in April, compared with $9 billion in March.

Exports to countries other than the U.S. rose 2.9% to $18.3 billion in April, while imports from those countries gained 8.3% to hit a record $29 billion.

The Canadian Press

The Canadian Press is a national news agency headquartered in Toronto and founded in 1917.