According to Statistics Canada, in October, Canada's merchandise exports increased 2.2 percent, partially on higher exports of pharmaceutical products. Imports rose 1.9 percent, in part due to higher imports of cell phones. As a result, Canada's merchandise trade deficit with the world was virtually unchanged at $3.8 billion in October.
Total exports rose 2.2 percent to $46.5 billion in October, which was $1.7 billion below the level posted in February. In October, 8 of 11 product sections increased, and non-energy exports were up 1.3 percent. In real (or volume) terms, total exports rose 1.2 percent.
Total imports were up 1.9 percent to $50.2 billion, exceeding the February level for the first time since the COVID-19 pandemic began. Of the 11 product sections, 7 increased. In real (or volume) terms, imports rose 1.7 percent.
Since the sharp gains in July, trade with countries other than the United States has trended differently than trade with the United States. Combining exports and imports, total trade with the United States in October was 0.3 percent below July levels. Meanwhile, total trade with countries other than the United States not only posted smaller losses in the spring, it has also risen 10.6 percent since July.
In October, imports (+9.1 percent) and exports (+2.7 percent) with countries other than the United States rose again. It was the fifth consecutive monthly increase for imports and a fourth increase in the last five months for exports.
Exports to the United States rose 2.0 percent in October, while imports fell 2.3 percent. As a result, Canada's trade surplus with the United States widened from $1.7 billion in September to $3.0 billion in October.