Canada achieved its first merchandise trade surplus since February 2024, with the balance improving from a $986 million deficit in November to a $708 million surplus in December, driven by exports rising 4.9% MoM while imports increased by 2.3% MoM.

• Total monthly exports in December were at the highest level since May 2022.
• Energy exports showed significant growth, rising 9.5% MoM in December, primarily due to an 11% MoM increase in crude oil exports, likely a result of US importers trying to build inventory ahead of tariffs.
• Metal and non-metallic mineral product exports reached a record high of $10 billion in December, with strong increases across various categories including waste and scrap metal (+35.6% MoM) and unwrought nickel and nickel alloys (+63.3% MoM).
• For the full year 2024, total merchandise exports increased by 1.0% compared to 2023, while imports rose 1.9%, resulting in the merchandise trade deficit widening from $610 million in 2023 to $7.2 billion in 2024.
• Canada's trade relationship with the United States remained robust in 2024, with the US accounting for 75.9% of Canada's total exports and 62.2% of total imports, although the annual trade surplus with the US narrowed to $102.3 billion from $108.3 billion in 2023.
• The trade surplus with the United States widened to $11.3 billion in December from $8.2 billion in November, while the deficit with other countries increased to $10.6 billion from $9.2 billion in the same period.