Perspectives on country attribution in Canadian international merchandise trade statistics

Released: 2025-03-06

In Canadian international merchandise trade statistics, import and export data are available by partner country to provide insight into the countries with which Canada trades. With imports in particular, the method for defining the partner country can result in different values of trade being attributed to each country depending on the type of data being used, namely, customs-basis or balance of payments (BOP)-basis data. For exports, breaking out total exports into domestic exports and re-exports can provide an additional perspective on the trade relationship with the partner country.

Today, the introduction of two new data tables offers more direct insight into country attributions in Canada's international merchandise trade statistics. Table 12-10-0178 offers data for customs-basis imports by country of origin and country of export, and table 12-10-0179 offers data for customs-basis total exports, domestic exports and re-exports. For each table, data are available for Canada's 27 principal trading partners as well as the product sections and groups of the trade variant of the North American Product Classification System (NAPCS) 2022.

To begin with import data, international standards for merchandise trade statistics recommend that the partner country in customs-basis data be attributed to the country of origin, which is the country in which the goods were grown, extracted or manufactured. For additional detail, the country of export is also available for imports. The country of export is the country from which the goods were directly shipped to Canada. These two methods for attributing the partner country result in different values being assigned to each country. Both include goods originating in and shipped directly from the partner country. In addition to this, imports by country of origin include goods originating from the partner country but exported from a third country, and imports by country of export include goods of foreign origin re-exported from the partner country.

Imports on a BOP-basis are attributed to the country of export to align with the concept of change in ownership used in macroeconomic accounts statistics. Therefore, customs-basis import data attributed to the country of export are more closely comparable to the BOP-basis import data. Aside from the method for attributing the partner country, the main differences that remain between customs-basis and BOP-basis data are BOP adjustments related to valuation, coverage, and timing.

Switching to exports, total exports are the sum of both domestic exports and re-exports of foreign-origin goods. Domestic exports are exports of goods that are grown, extracted, or manufactured in Canada. Re-exports are exports of goods of foreign origin that were previously imported into Canada and then exported either without significant alteration or after undergoing minor processing (such as packaging), which keeps their essential nature unchanged. The partner country in exports is attributed to the country of last known destination on both a customs-basis and a BOP-basis. Therefore, these two types of data are comparable from the perspective of country attribution, however differences related to BOP adjustments may remain.

Gaining further insight into Canada's trade balance

Canada's official measure for the trade balance is calculated by subtracting BOP-basis imports from BOP-basis exports. One limitation of the BOP-basis data is that they are currently available for either Canada's principal trading partners or by product according to the NAPCS classification, but not for both. On the other hand, this two-dimensional view is available in the customs-basis data. Considering that the customs-basis import data attributed to the country of export is more closely aligned with the BOP-basis import data, product-focused analysis using the country of export for attribution will be closer to the ownership-based BOP-basis framework. Import data attributed to the country of export dimension, as well as the country of origin, are available by product for the customs-basis data in the data table.

Using the customs-basis data to gain insight into Canada's trade balance can be demonstrated using the example of Canada's trade with the United States. On a BOP-basis, Canada's imports from the United States were $487.9 billion in 2024. On a customs-basis attributed to the country of origin, Canada's imports from the United States were $375.0 billion for the same year. This latter value is notably smaller than the BOP-basis value as a result of the attribution of the country. However, the value of customs-basis imports attributed to the country of export, at $471.3 billion, is more in alignment with the BOP-basis import value, which is also attributed to the country of export.

Chart 1 
Canada's balance of payments-basis imports, customs-basis imports attributed to the country of origin, and customs-basis imports attributed to the country of export, from the United States, not seasonally adjusted, monthly, January 2015 to December 2024

Taking this a step further, net exports—the term used to indicate a "balance" on a customs basis—can be calculated by subtracting customs-basis imports attributed to the country of export from customs-basis exports to approximate the official BOP-basis trade balance. Canada's net exports with the United States calculated as such were +$124.9 billion in 2024. In comparison, the BOP-basis trade surplus for the same year was $102.3 billion while net exports calculated using import data attributed to the country of origin were +$221.2 billion.

Revealing trade flows with Canada's trading partners

Data based on these different country attribution concepts can be used to reveal important trade flows with different countries. Data for imports attributed to the country of origin and the country of export can provide perspective on the flow of goods to Canada. Using trade with Mexico as an example, Canada imported $47.3 billion in Mexican-origin goods in 2024. Of this, $19.4 billion in goods were imported directly from the United States. Mexican-origin goods imported directly from the United States included electronic and electrical equipment and parts ($6.2 billion) as well as motor vehicles and parts ($3.8 billion), mainly motor vehicle engines and motor vehicle parts.

Infographic 1 
Flow of imports

This flow, shown in infographic 1, denotes goods that were grown, extracted or manufactured in Mexico, then imported into the United States, where they cleared customs. While in the United States, the goods may have remained unchanged or undergone minor processing, and then were subsequently re-exported to Canada. Re-exports differ from in-transit shipments, which represent exchanges between two countries that rely in part on a third country's transportation infrastructure. Such shipments typically do not clear customs in the third country, and this country would therefore not be listed as either the country of origin or the country of export.

In the reverse scenario, shown in infographic 2, using the export data broken out by domestic exports and re-exports can provide the perspective on the flow of goods from Canada. In 2024, Canada exported $780.1 billion in goods to the world, mainly comprised of domestic exports (92.4%). Re-exports were valued at $59.7 billion, mainly destined for the United States, the United Kingdom and Germany.

Infographic 2 
Flow of exports

Understanding asymmetries in bilateral trade data comparisons

The availability of customs-basis import data by country of origin and country of export as well as exports broken out by domestic exports and re-exports also provide insight when comparing bilateral trade data produced by two countries, as country attribution is the key reason for asymmetries. More information on this can be found in Comparing Canadian and US bilateral trade in goods data, 2014, 2015 and 2016 and Understanding the Canadian international merchandise trade balance.

Contact information

For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; infostats@statcan.gc.ca) or Media Relations (statcan.mediahotline-ligneinfomedias.statcan@statcan.gc.ca).