According to Statistics Canada, in January, Canada's merchandise exports increased 4.2 percent, while imports were up 3.1 percent. As a result, Canada's merchandise trade surplus with the world widened from a revised $1.2 billion in December 2022 to $1.9 billion in January 2023.
Total exports rose 4.2 percent in January to reach $67.0 billion. The increase was widespread in January, with all product sections increasing except energy products. Farm, fishing and intermediate food products, motor vehicles and parts, and metal and non-metallic mineral products all contributed roughly equally to the increase, and were responsible for more than two-thirds of the gain in total exports. Exports excluding energy products rose 6.1 percent to $51.6 billion, an all-time high. Total exports in real (or volume) terms were up 5.3 percent in January.
Following two consecutive monthly declines, total imports increased 3.1 percent to $65.1 billion in January. Increases were observed in 6 of the 11 product sections. In real (or volume) terms, total imports were up 4.1 percent.
Exports to countries other than the United States were up 7.2 percent in January, reaching a record $16.7 billion. Exports to China (canola oil and coal), the United Kingdom (gold) and Germany (aircraft and crude oil) posted the largest increases.
Imports from countries other than the United States rose 4.6 percent in January. Imports from Mexico (trucks) and Switzerland (pharmaceutical products) led the increase.
Canada's trade deficit with countries other than the United States narrowed for a fifth consecutive month, edging down from $7.2 billion in December to $7.1 billion in January.
Exports to the United States increased 3.3 percent in January, while imports from the same country rose 2.3 percent. As a result, Canada's merchandise trade surplus with the United States widened from $8.4 billion in December to $9.0 billion in January. This is the second consecutive monthly widening of the trade surplus with the United States following six months of narrowing.