FX.co ★ Canada Trade Balance Swings to Deficit in October

In October 2025, Canada's trade balance shifted to a deficit of C$0.58 billion, contrasting with September's C$0.24 billion surplus, yet outperforming the anticipated C$1.4 billion deficit. Exports climbed by 2.1% month-over-month to reach C$65.61 billion, primarily propelled by significant increases in the metals sector. Specifically, exports of metal and non-metallic minerals soared by 27.3%, with unwrought gold experiencing a notable 47.4% increase, driven by substantial shipments to the UK. Additionally, motor vehicles and parts saw a rise of 4.1%. Conversely, these gains were somewhat curtailed by an 8.4% decline in energy exports, as crude oil and bitumen fell by 13.5% due to decreased volumes and prices. Exports to the United States decreased by 3.4%. Meanwhile, imports witnessed a rebound, climbing 3.4% to C$66.19 billion. This was largely driven by a 10.2% rise in electronic and electrical equipment and a 9.5% increase in metal and mineral imports, spurred by higher inflows of unwrought gold and platinum group metals. Consequently, Canada's trade surplus with the United States narrowed from C$8.4 billion to C$4.8 billion, while the trade deficit with non-US partners decreased to C$5.4 billion, the smallest since January 2021.