“Canadian Trade Surplus with U.S. Shrinks Amid Export Dip”

In October, exports to the United States made up 67.3% of all Canadian exports, marking the lowest level outside of pandemic times since data tracking began in 1997. The value of goods shipped from Canada to the U.S. declined by 4.1%, while imports from the U.S. rose by 5.3%. Consequently, Canada’s trade surplus with the U.S. dropped to $4.8 billion from $8.4 billion the previous month, following tariffs imposed by U.S. President Donald Trump and calls from Prime Minister Mark Carney for trade diversification.

Canada reported a trade deficit of $583 million in October, smaller than anticipated, as imports outpaced exports. Analysts had predicted a $1.36 billion deficit. Statistics Canada revised September’s surplus to $243 million from the initial $153 million. This marked the eighth deficit in nine months in 2025.

Total imports, after a 4.3% decline in September, increased by 3.4% in October. Imports of electronic and electrical equipment, especially computers and peripherals, surged by 10.2%. Exports saw a modest 2.1% increase driven by demand for certain metals. Excluding specific metal products, overall exports decreased by 2.5%.

Exports to countries other than the U.S. soared by 15.6%, reaching a record high, boosted by gold shipments to Britain and oil exports to China. The release of the data was delayed due to a U.S. government shutdown, with November’s data scheduled for release on Jan. 29.

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