Canada’s trade surplus declined sharply in July as the price of oil and precious metals fell, the national statistics agency said Thursday, with U.S. tariffs imposed since then expected to add further pressure on exports.
The trade surplus in July was $769 million (US$558 million), down from $4.2 billion (US$3.1 billion) the month prior, Statistics Canada said.
Exports to the United States — where much of Canada’s crude goes — fell by 6.6 per cent in July, “the strongest percentage decrease since April 2025,” the agency said.
The trade surplus with the United States was nearly halved to $5.9 billion in July, down from $10.3 billion in June.
Trade talks between the United States and Canada broke down late last month, with U.S. President Donald Trump’s threatened tariffs of up to 50 per cent since coming into force.
Canada has announced retaliatory measures, set to take effect next week.
The trade war is expected to weigh on trade between the neighbours, with Ottawa additionally urging consumers to prioritize Canadian products.
