Canada merchandise exports climb

OTTAWA – Canada’s trade deficit with the world closed in from $1.4 billion to $753 million in July due to a 2.2 increase in merchandise exports, says a Statscan report.

Automotive products, industrial goods and materials, as well as machinery and equipment, were the main contributors to the increase.

July marked the third straight month for a gain in machinery and equipment exports, climbing 5.5 percent to $6.8 billion.

Industrial goods and materials also scored a hat trick with a 2.8 percent climb to $9.9 billion.

Passenger autos and chassis were the big contributors for the 7.6 percent gain in automotive products, while metal ores exports broke records with a 4.1 percent jump to $1.6 billion.

Leading the climb in volume were aircraft engines and parts, as well as telecommunication equipment, up 16.1 percent and 12.6 percent, respectively.

There was a 10.4 percent drop in chemicals, plastics and fertilizer that offset the overall increase, and energy product exports fell 2.1 percent to $8.4 billion. Crude petroleum exports were down for a fourth straight month.

On the import front, July saw a slight increase to $38.0 billion. Imports from the U.S. of A rose 3.1 percent. Notably, imports from Japan are back up to levels prior to the tsunami back in March, passing $800 million.