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Canada's merchandise exports declined 1.7% to $33.1 billion in September, as export volumes fell 2.2% while prices increased 0.5%. The level of exports has remained relatively unchanged since the beginning of 2010.
Automotive products, other consumer goods as well as industrial goods and materials were the main factors behind the decline. Conversely, exports of machinery and equipment increased during the month.
Imports increased 1.2% to $35.6 billion, the highest level since November 2008, as import prices rose 1.1%.
Industrial goods and materials and machinery and equipment, the two largest import sectors, recorded gains in September.
Consequently, Canada's trade deficit with the world rose from $1.5 billion in August to $2.5 billion in September, approaching the record deficit registered in July.
Exports to the United States fell 3.6% to $23.9 billion, their lowest level since November 2009. The decrease largely reflected lower exports of passenger autos. In contrast, imports increased 1.6%. As a result, Canada's trade surplus with the United States narrowed to $1.6 billion in September from $2.9 billion in August.
Merchandise trade is one component of Canada's international balance of payments, which also includes trade in services, investment income, current transfers as well as capital and financial flows.
International merchandise trade data by country are available on both a balance of payments and a customs basis for the United States, Japan and the United Kingdom. Trade data for all other individual countries are available on a customs basis only. Balance of payments data are derived from customs data by making adjustments for characteristics such as valuation, coverage, timing and residency. These adjustments are made to conform to the concepts and definitions of the Canadian System of National Accounts.
Data in this release are on a balance of payments basis, seasonally adjusted in current dollars. Constant dollars are calculated using the Laspeyres volume formula.
Revisions
In general, merchandise trade data are revised on an ongoing basis for each month of the current year. Current year revisions are reflected in both the customs and balance of payments based data. Revisions to customs based data for the previous year are released on a quarterly basis. Revisions to balance of payments based data for the three previous years are released annually in June.
Factors influencing revisions include late receipt of import and export documentation, incorrect information on customs forms, replacement of estimates with actual figures, changes in classification of merchandise based on more current information, and changes to seasonal adjustment factors.
Revised data are available in the appropriate CANSIM tables.
Exports to countries other than the United States increased 3.6%, the third consecutive monthly gain, while imports rose 0.5%. Consequently, Canada's trade deficit with countries other than the United States declined to $4.1 billion in September from $4.3 billion in August.
After trending upwards from June 2009 to May 2010, exports of automotive products declined for the fourth consecutive month in September. Automotive products exports fell 6.6% to $4.8 billion, largely reflecting lower volumes. Exports of passenger autos, down 10.9%, accounted for the drop in the sector.
Following a 27.3% gain in August, exports of other consumer goods fell 15.9% to $1.4 billion, as volumes declined 15.2%. Lower exports of medicinal and pharmaceutical products were the main source of the decline.
Exports of industrial goods and materials declined 2.3% to $7.8 billion, as volumes fell 3.0%. Precious metals and copper ores, which led the sector's gain in August, largely contributed to the decrease. Higher exports of nickel and alloys moderated the decline in the sector.
Exports of machinery and equipment increased 3.6% to $6.7 billion, the fifth increase in six months. Exports of aircraft, up 13.9%, represented over two-thirds of the gain in the sector.
Imports of industrial goods and materials rose 5.6% to $7.6 billion, led by imports of metals and metal ores. Imports of precious metals reached a record high in September, rising 38.6% to $1.0 billion. Metals in ores also contributed to the sector's growth.
Machinery and equipment imports increased 3.2% to $10.2 billion, the eighth consecutive monthly gain. Volumes rose 2.3% and have been on an upward trend since January 2010. Aircraft, engines and parts led the growth in September. Engines, turbines and motors also contributed to the gain, reflecting the expansion of wind farm projects in Canada.
Imports of automotive products fell 4.8% to $5.5 billion. Imports of motor vehicle parts, down for the fourth consecutive month, accounted for almost two-thirds of the decrease. Imports of passenger autos and trucks also declined in September.
Available on CANSIM: tables 228-0001 to 228-0003, 228-0033, 228-0034, 228-0041 to 228-0043 and 228-0047 to 228-0057.
The merchandise imports and exports data in the following tables are presented in dollar values.
Tables 228-0001 to 228-0003: customs and balance of payments basis, by major groups and principal trading areas for all countries; monthly, quarterly, and annual.
Table 228-0033: Imports, customs-based, by province of clearance, monthly.
Table 228-0034: Domestic exports, customs-based, by province of origin, monthly.
Tables 228-0041 to 228-0043: Customs and balance of payments basis, by sector and sub-sector, for all countries; monthly, quarterly, and annual.
The merchandise imports and exports data in the following tables are indexes (2002=100).
Tables 228-0047 to 228-0049: Balance of payments and customs-based price and volume indexes for all countries; monthly, quarterly, and annual.
Tables 228-0050 to 228-0052: Customs-based price indexes, Canada and United States trade, and Standard International Trade Classification (SITC revision 3) price indexes for all countries and United States; monthly, quarterly, and annual.
Tables 228-0053 to 228-0055: Price and volume indexes customs and balance of payments basis, by sector and sub-sector, for all countries; monthly, quarterly, and annual.
Tables 228-0056 to 228-0057: Balance of payments basis, by sector, seasonally adjusted, Fisher formula, chained 2002 dollars, for all countries; monthly and quarterly.
Definitions, data sources and methods: survey numbers, including related surveys, 2201, 2202 and 2203.
These data are available in the Canadian international merchandise trade database.
The September 2010 issue of Canadian International Merchandise Trade, Vol. 64, no. 9 (65-001-X, free), is now available from the Key resource module of our website under Publications.
Current account data (which incorporate merchandise trade statistics, service transactions, investment income and transfers) are available quarterly in Canada's Balance of International Payments (67-001-X, free).
Data on Canadian International Merchandise Trade for October will be released on December 10.
For more information, or to order data, contact Client Services (toll-free 1-800-294-5583; 613-951-9647; trade@statcan.gc.ca). To enquire about the concepts, methods or data quality of this release, contact Mychèle Gagnon (613-951-0994), International Trade Division.
| September 2009 | August 2010r | September 2010 | August to September 2010 | September 2009 to September 2010 | |
|---|---|---|---|---|---|
| Seasonally adjusted, $ current | |||||
| $ millions | % change | ||||
| Principal trading areas | |||||
| Exports | |||||
| United States | 21,881 | 24,832 | 23,932 | -3.6 | 9.4 |
| Japan | 641 | 810 | 764 | -5.7 | 19.2 |
| European Union1 | 2,826 | 3,246 | 3,043 | -6.3 | 7.7 |
| Other OECD countries2 | 1,507 | 1,331 | 1,689 | 26.9 | 12.1 |
| All other countries | 3,055 | 3,431 | 3,637 | 6.0 | 19.1 |
| Total | 29,910 | 33,650 | 33,065 | -1.7 | 10.5 |
| Imports | |||||
| United States | 19,736 | 21,981 | 22,325 | 1.6 | 13.1 |
| Japan | 729 | 786 | 860 | 9.4 | 18.0 |
| European Union1 | 3,042 | 3,691 | 3,449 | -6.6 | 13.4 |
| Other OECD countries2 | 1,951 | 2,349 | 2,657 | 13.1 | 36.2 |
| All other countries | 5,255 | 6,335 | 6,259 | -1.2 | 19.1 |
| Total | 30,714 | 35,144 | 35,550 | 1.2 | 15.7 |
| Balance | |||||
| United States | 2,145 | 2,851 | 1,607 | ... | ... |
| Japan | -88 | 24 | -96 | ... | ... |
| European Union1 | -216 | -445 | -406 | ... | ... |
| Other OECD countries2 | -444 | -1,018 | -968 | ... | ... |
| All other countries | -2,200 | -2,904 | -2,622 | ... | ... |
| Total | -804 | -1,494 | -2,485 | ... | ... |
| September 2009 | August 2010r | September 2010 | August to September 2010 | September 2009 to September 2010 | |
|---|---|---|---|---|---|
| Seasonally adjusted, $ current | |||||
| $ millions | % change | ||||
| Exports | |||||
| Agricultural and fishing products | 2,740 | 3,004 | 2,969 | -1.2 | 8.4 |
| Energy products | 6,325 | 6,812 | 6,839 | 0.4 | 8.1 |
| Forestry products | 1,566 | 1,805 | 1,810 | 0.3 | 15.6 |
| Industrial goods and materials | 6,516 | 8,006 | 7,818 | -2.3 | 20.0 |
| Machinery and equipment | 6,270 | 6,496 | 6,732 | 3.6 | 7.4 |
| Automotive products | 4,185 | 5,109 | 4,771 | -6.6 | 14.0 |
| Other consumer goods | 1,394 | 1,611 | 1,355 | -15.9 | -2.8 |
| Special transactions trade1 | 526 | 348 | 297 | -14.7 | -43.5 |
| Other balance of payments adjustments | 389 | 458 | 474 | 3.5 | 21.9 |
| Total | 29,910 | 33,650 | 33,065 | -1.7 | 10.5 |
| Imports | |||||
| Agricultural and fishing products | 2,342 | 2,516 | 2,504 | -0.5 | 6.9 |
| Energy products | 2,631 | 3,440 | 3,397 | -1.3 | 29.1 |
| Forestry products | 201 | 223 | 222 | -0.4 | 10.4 |
| Industrial goods and materials | 6,414 | 7,157 | 7,559 | 5.6 | 17.9 |
| Machinery and equipment | 8,582 | 9,894 | 10,212 | 3.2 | 19.0 |
| Automotive products | 4,876 | 5,775 | 5,498 | -4.8 | 12.8 |
| Other consumer goods | 4,657 | 4,989 | 4,893 | -1.9 | 5.1 |
| Special transactions trade1 | 374 | 428 | 551 | 28.7 | 47.3 |
| Other balance of payments adjustments | 637 | 722 | 714 | -1.1 | 12.1 |
| Total | 30,714 | 35,144 | 35,550 | 1.2 | 15.7 |