Canada’s trade deficit with the rest of the world grew to $1.1 billion in August as lower oil prices curtailed export demand.
August’s trade deficit was more than double the revised deficit of $287 million seen in July of this year, according to Statistics Canada.
The trade deficit swelled as Canada’s total exports fell 1% to $64.3 billion in August. Exports of energy products dropped 3% as shipments of crude oil declined 4.1% due to lower prices.
At the same time, Canada’s imports edged up 0.3% in August to $65.4 billion as purchases of foreign motor vehicles and parts climbed higher by 2.4%.
In volume terms, total exports increased 0.1% in August, while imports increased 0.4%.
Canada’s exports to the U.S. fell 4.3% in August, while imports from the U.S. increased 0.9%.
In all, Canada’s surplus with its largest trading partner totaled $8 billion in August, down from $10.5 billion in July.
Canada’s trade deficit with countries other than the U.S. totalled $9.1 billion in August compared with $10.8 billion in July.