Canada's September Merchandise Trade Surplus Much Higher Than Expected; US Surplus Hits Record Monthly Gain

MT newswire2026/10/06 13:02

09:02 AM EDT, 10/06/2026 (MT Newswires) -- Canada's international merchandise trade surplus widened to CA$4.2 billion in August from CA$787 million in July as exports rose 2.5% monthly, while imports fell 2.0%, according to the country's statistical agency on Tuesday. August surplus was almost three-fold the CA$1.50 billion consensus estimate in a Bloomberg survey. Part of the reason for the surplus was also the Canadian dollar's appreciation against the US dollar. In August, the average value of the Canadian dollar increased 1.1 US cents compared with the average value in July. This was the strongest monthly increase since December 2025. Exports to the United States rose 8.1% monthly, while imports fell 2.5%, widening Canada's trade surplus with the US to CA$11.2 billion from CA$6.1 billion in July. The CA$5.1 billion increase marked the largest monthly improvement on record, as new US tariffs on Canadian goods took effect at the end of August, potentially prompting importers to front-load shipments, added StatsCan. Canada subsequently imposed tariffs on selected US goods. Canada's trade deficit with countries outside the US widened to CA$7.0 billion in August from CA$5.3 billion in July, as exports fell 8.5% monthly, while imports fell 1.4%, said the Ottawa-based agency.

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