Source: The Canadian Press

Merchandise exports rose while imports dropped in November, and as a result Canada’s trade deficit shrunk precipitously.

Statistics Canada reports the trade deficit narrowed to $81 million in November from $1.5 billion in October.

Merchandise imports declined 3.2% to $34.4 billion in November, led by a 15.1% drop in volumes of energy products.

Overall, import volumes fell 2.4% and prices, down 0.8%, decreased for a fourth straight month.

Energy products and machinery and equipment were the main factors behind the decrease in the value of imports, while imports of industrial goods and materials rose.

Export volumes fell 2% but the value of exports increased 0.8 to $34.3 billion, as prices, up 2.8% overall, rose in most sectors.

Exports to the United States increased 0.6% while imports fell 5.1, reflecting a drop in imports of automotive products.

Consequently, Canada’s trade surplus with the United States rose to $3 billion in November from $1.7 billion in October.

Exports to countries other than the United States grew 1.1%, a fifth straight month of increases, while imports remained virtually unchanged.

As a result, Canada’s trade deficit with countries other than the United States declined to $3.1 billion in November from $3.2 billion in October.