Canada’s trade deficit rose to Can $2.5bn in November
269 total views, 2 views today
Canada’s trade deficit rose to Can$2.5 billion (US$1.7 billion) in November on the back of the sharpest rise in imports in more than eight years, the government statistics office said Friday.
Imports were up by 5.8 percent in November, totalling Can$48.7 billion, “the strongest increase since July 2009,” Statistics Canada said in a statement.
The surge in imports came largely in the electronics sector, which was up 10.9 percent, mostly in communications, audio and video appliances, in particular cell phones, “which posted a 21.6 percent gain to a record high Can$2.1 billion,” it said.
Imports of motor vehicles and parts also rose, as did imports of aircraft and other transportation equipment, due in large part to the purchase of ships from Asian makers.
Canadian exports also rose by 3.7 percent to Can$46.2 billion, mostly on the back of auto sales, which were up 14.6 percent, and consumer goods, up by 7.4 percent, in particular among pharmaceutical products.
Imports from the United States, Canada’s main trade partner, rose by 6.5 percent to reach a total of Can$31.9 billion.
Canadian exports to the US also rose by 5.4 percent to Can$35.2 billion, reducing Canada’s trade surplus with its neighbor from Can$3.5 billion in October to $3.3 billion in November.
Imports from other countries rose by 4.4 percent to Can$16.9 billion, mostly on the back of Chinese telephones, Japanese cars and Saudi petroleum.
Canada also saw a drop in sales to other trading partners, in particular the United Kingdom, South Korea and Mexico, that was partially offset by an increase in exports to China, mostly in wood pulp.
Canada’s trade deficit with international partners other than the United States widened, going from Can$5 billion in October to Can$5.9 billion a month later. (AFP)Photo by david_shankbone Photo by Got Credit