Canada's trade deficit jumped in April as imports hit a record high and exports fell slightly, Statistics Canada (Statscan) reported Tuesday in a further sign that exporters' problems are limiting economic growth.
The April trade deficit hit $550 million, slightly more than the imbalance forecast by market analysts. Canada now has posted 16 consecutive monthly trade deficits.
Imports rose 1.2 percent, the fourth consecutive monthly advance, to hit a record above $40 billion. The increase was led by imports of energy products, motor vehicles, and vehicle parts. Exports fell 0.2 percent to below $40 billion on lower shipments of metal ores, energy products, and industrial machinery.
Exports to the United States, which purchased nearly 75 percent of all Canadian exports in April, grew by 1.8 percent while imports from the United States grew by 1.9 percent to a record high. Canada's trade surplus with the United States grew slightly to nearly $4 billion in the month.