Canada’s merchandise trade position strengthened in May, with the surplus widening to C$4.2 billion from C$3.4 billion in April, Statistics Canada said on Tuesday. The May result is the largest trade surplus recorded in four years and the third consecutive month that Canada has posted a surplus.
Exports rose 0.9% to a record C$77.1 billion in May, representing a 22% increase compared with four months earlier. Within the metal and non-metallic mineral products category, shipments of unwrought aluminum and aluminum alloys surged 50.7%, reaching C$1.2 billion. Those aluminum exports were the single biggest contributor to growth in that product grouping and were shipped mainly to the Netherlands, Italy and Greece.
On the import side, values edged down 0.2% in May after hitting a record high in April. Imports of metal and non-metallic mineral products declined 18.2%, a move largely attributable to a 33% drop in imports of unwrought gold, silver and platinum group metals and their alloys. Conversely, imports of consumer goods increased 3.5% in May, with batteries and battery chargers from China cited as a leading contributor to that rise.
Trade flows with the United States showed differing directions in May. Exports to the U.S. climbed 1.5% - the fourth straight monthly increase - while imports from the U.S. fell 1.4%. As a result, Canada’s surplus with the United States widened from C$10.3 billion in April to C$11.6 billion in May, the highest bilateral surplus with the United States since January 2025.
By contrast, trade with countries other than the United States moved against Canada in May. Exports to non-U.S. partners slipped 0.3%, while imports from those countries rose 1.5%. That produced a wider trade deficit with non-U.S. countries, increasing from C$6.9 billion in April to C$7.4 billion in May.
These monthly data points highlight the composition of recent trade momentum - record overall exports led by a sharp rise in aluminum shipments, a modest decline in overall imports from their April highs, and divergent bilateral trends between the United States and other trading partners.