Canadian trade deficit hits record $4.1B in September
Trade surplus with U.S. rises to $2.7 billion
Canada's merchandise trade deficit ballooned to a record $4.1 billion in September, thanks to one large shipment of equipment destined for an oil field off the coast of Newfoundland.
While the country's exports edged up 0.1 per cent from August to hit $43.5 billion in September, overall imports rose 4.7 per cent to a record $47.6 billion during the month.
"The one-off transaction that boosted Canada's imports to a record $47.6 billion in September was due to the importation of a large module destined for the Hebron offshore oil project in Newfoundland and Labrador from South Korea," TD Bank economist Fotios Raptis said.
Excluding this transaction, Canada's total imports would have declined by 1.6 per cent, resulting in Canada's trade deficit narrowing to $1.2 billion.
As it stands, Canada's overall trade deficit in August was $2 billion.
Imports from the United States, Canada's top trading partner, fell by 1.1 per cent to $29.7 billion, while exports were down 0.6 per cent to $32.4 billion in September. That meant Canada's trade surplus with the United States widened from $2.6 billion in August to $2.7 billion in September.