Canada Unexpectedly Posts Huge Trade Surplus in June, Biggest Since 2008

08/05/2021

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David Ljunggren | Reuters

Canada unexpectedly posted a trade surplus of C$3.23 billion ($2.58 billion) in June, the largest in almost 13 years, as exports jumped on higher shipments of oil and autos, Statistics Canada data indicated on Thursday.

Analysts polled by Reuters had forecast a trade deficit of C$0.68 billion in June. The surplus was the largest since the C$3.45 billion recorded in September 2008.

Exports leapt by 8.7%, the biggest increase since July 2020, to hit a record high C$53.76 billion as economies continue their recovery from the COVID-19 pandemic.

“This is a very pleasant surprise,” said Peter Hall, chief economist at Canada’s export development agency.

“International supply chains are becoming less encumbered and … fundamental underlying demand that has been with us all the way along is actually manifesting itself in growth,” he said by phone.

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