FX.co ★ Canada Trade Deficit Widens More Than Expected

In November 2025, Canada's trade deficit expanded significantly to C$2.20 billion, up from a deficit of C$0.395 billion in October, far exceeding the anticipated C$0.7 billion deficit. Export values declined by 2.8% month-over-month, totaling C$63.94 billion. This decline was largely driven by a sharp 24.4% drop in exports of metals and non-metallic minerals, particularly due to a decrease in unwrought gold and related shipments after previously strong gains. Additionally, exports of motor vehicles and parts decreased by 11.6%. However, there was an 8.5% increase in energy exports, including a 7.6% rise in crude oil and crude bitumen driven by higher volumes, which helped to mitigate the overall decline. Exports to the United States saw a reduction of 1.8%. On the import side, there was a slight decrease of 0.1% to C$66.14 billion, mainly due to reduced imports of motor vehicles and parts (-4.5%) and energy (-10.6%), particularly crude oil, which fell by 30.2%. In contrast, imports of consumer goods, such as pharmaceuticals and clothing, experienced an increase. Consequently, Canada's trade surplus with the United States expanded to C$6.6 billion, while its trade deficit with non-U.S. partners increased to C$8.8 billion.