The month of August saw Canada’s merchandise trade deficit narrow to $2.4 billion as both exports and imports trended lower following double-digit percentage gains in June and July. Recovery halted slightly in August with what was looking to be a v-shaped rebound. Analysts say that we should expect a subsequent slower rebound after the initial improvement from the Coronavirus (COVID-19) lockdown lows.
In terms of volume, imports were down 0.5 per cent in August, while export volumes were down 1.4 per cent. Compared with February, pre-pandemic, imports were down 5.1 per cent and exports were down 7.0 per cent.
Economists feel that this information is consistent with their view that as the economy enters the recuperation stage, activity will moderate.
For more information, contact Debbie McGuire, Manager – Freight Solutions.