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- Canada: Growth in exports moderates – NFB
Canada: Growth in exports moderates – NFB
Data released on Tuesday in Canada showed the merchandise trade surplus narrowed from CAD 2.28 billion in March to CAD 1.50 billion in April, significantly below expectations. Analysts at the National Bank of Canada explained export growth moderated in April, partially due to a decline in energy exports. They added that in volume terms, exports remained 11.9% below their level in December 2019.
Key Quotes:
“Although the trade surplus narrowed in April, Canada’s international merchandise balance nonetheless remained in positive territory, and that for a tenth time in the past eleven months.”
“After two solid increases in February (+5.1%) and March (+7.8%), imports expanded at a more modest pace. In fact, they would have been down had it not been for price increases in several categories including energy products. On the exports side, the consumer goods segment was an important contributor as shipments of packaged seafood products soared 52.4%. This increase was due not only to the sharp increase in the price of crab, but also to a shift in the fishing season for this crustacean to earlier dates.”
“After reaching unprecedented highs in the previous three months, exports of energy products were down 0.9% in April, the result of planned shutdowns for maintenance in the Alberta oil sands. This decline was partly responsible for the slight drop in the trade surplus with the United States, the main buyer of Canadian energy products.”
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