Foreign oil imports plummet in August
A sharp drop in foreign oil imports and increase in energy exports helped narrow Canada's trade deficit in August. According to Statistics Canada, overall exports increased 0.6% to $43.4 billion, reducing the national trade deficit from $2.2 billion in July to $1.9 billion in August.
Among the key highlights:
- Non-US exports rose 7.7%, the largest monthly increase since May 2014.
- Exports to the United States decreased 1.6% to $32.4 billion.
- Exports of energy products rose 4.4% to $6.0 billion, the sixth consecutive monthly increase. Volumes rose 3.4% and prices were up 1.0%.
- Exports excluding energy products were unchanged from the previous month.
- After 5 consecutive monthly increases, imports of energy products fell 16.6% to $2.2 billion due to lower volumes (-13.5%) and lower prices (-3.6%).
- Imports of crude oil decreased 16.3% to $1.3 billion on lower volumes (-8.7%) and prices (-8.3%).
- Imports of refined products declined 23.4% to $573 million, mostly on lower volumes.
The August data was much better than expected. August marked the 24th consecutive month of trade deficits for the country.