Canada trade deficit doubles in June

Canada's trade deficit doubled in June as rising imports, including a record level of American goods, outpaced exports, the government's statistics agency said yesterday. The country registered a deficit of Can$1.8 billion ($1.81 billion) in the month, up from Can$954 million ($960 million) in May, according to Statistics Canada. It was the third consecutive monthly trade deficit, coming in significantly higher than the Can$1.0 billion deficit analysts had forecast. Imports rose 2.3 percent to a record high of Can$40.9 billion ($41.1 billion) in June, on the strength of machinery and equipment. Imports of medicinal and pharmaceutical products, iron and steel products, and plastic materials, were also up. The only sector to decline in June was energy products. Petroleum and coal products registered strong gains in volumes, but crude petroleum imports decreased 18.2 percent. Exports, meanwhile, edged up to Can$39.1 billion ($39.3 billion) in June as a strong gain in automotive products sales counterbalanced a drop in exports of wheat, crude petroleum, and aircraft and other transportation equipment. Canada's trade surplus with the United States, its main trading partner, narrowed from Can$3.2 billion ($3.22 billion) to Can$3.1 billion ($3.12 billion). Canadian exports to the United States rose 2.2 percent to Can$29 billion ($29.2 billion) while imports from the United States reached a record high of Can$11.2 billion ($11.26), a third consecutive monthly increase.