Canada Achieves Trade Turnaround: A Surplus After Seven-Month Deficit

In September, Canada achieved a rare trade surplus of C$153 million, reversing a seven-month deficit trend. The key factor was a 44% rise in trade surplus with the U.S., catalyzed by increased exports of metals and aircraft. Overall exports rose by 6.3%, bolstered by significant growth in key sectors.

In a striking economic reversal, Canada posted a trade surplus of C$153 million in September, putting an end to a seven-month streak of trade deficits, Statistics Canada reported Thursday. The notable shift was primarily driven by a substantial increase in the trade surplus with its largest trading partner, the United States.

This breakthrough marks the first surplus since tariffs imposed by President Trump negatively affected export figures. Canada's total exports grew by an impressive 6.3% to C$64.23 billion, with a remarkable 44% surge in its surplus with the U.S., thanks to a boost in sales of metals, aircraft, and transportation equipment.

In a broader economic context, imports fell by 4.1%, contributing to the positive trade balance. Observers had forecasted a continued deficit, but Canadian exports defied predictions, climbing significantly in nine out of eleven product categories, demonstrating robust economic resilience.

(With inputs from agencies.)