OTTAWA (Reuters) – Canada’s exports rose in May, bouncing back from historic declines in April, as auto industry production resumed and on higher crude prices, though imports fell on supply challenges tied to the gradual reopening of countries from COVID-19 closures.
Total exports rose 6.7% to C$34.6 billion ($25.5 billion) in May, its largest jump since January 2014, and imports declined 3.9% in May to C$35.3 billion, Statscan said.
Canada’s trade deficit in May was C$677 million, while StatsCan revised April’s trade deficit to C$4.3 billion. Analysts polled by Reuters had forecast a shortfall of C$3 billion in May.
Exports of energy products rose 14.5% in May, mainly on higher exports of crude oil, while motor vehicle and parts exports began to ramp up, gaining C$822 million.
“Despite this monthly increase, exports of motor vehicles and parts were down by almost 80% compared with May 2019,” StatsCan said in a release.
The Canadian dollar turned higher after the release of the data, touching 1.3573 per U.S. dollar, or 73.68 U.S. cents.=d4>
Canadian exports jump in May, imports down amid supply challenges
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