AFP, Ottawa :
Canada’s surplus with its biggest trading partner the United States narrowed in January while the coronavirus epidemic hindered trade with China, according to government data released Friday.
Overall, Canada’s trade deficit with the world widened from a revised Can$732 million (US$545 million) in December 2019 to Can$1.5 billion (US$1.1 billion) in January, said Statistics Canada.
The agency had previously reported a much smaller trade deficit in December, but in a revised statement it noted higher imports and lower exports in the month.
Meanwhile, Canada’s trade surplus with the United States narrowed from Can$4.7 billion in December 2019 to Can$3.6 billion in January. This was its smallest surplus since February 2019.
A slowing of the Chinese economy as Beijing stepped up efforts to contain the spread of the new coronavirus also resulted in a steep drop in Canadian trade with its number two partner.
This compounded a downward trend in the second half of 2019 due to strained ties over Canada’s arrest on a US warrant of Huawei executive Meng Wanzhou and China’s detention in apparent retaliation of two Canadians.
Imports from China in 2019 totaled Can$46.8 billion, and exports to China settled at Can$24.4 billion.
