Canada’s trade deficit in May grew to $2.77-billion from $1.86-billion in April on a sharp rise in imports of airliners and gasoline while exports edged down, Statistics Canada said on Friday.
Analysts in a Reuters poll had predicted a shortfall of $2.05-billion. Canada has only recorded two monthly trade surpluses since October 2014.
Imports rose by 1.7 per cent, pushed up by a 17.7-per-cent jump in shipments of aircraft and other transportation equipment and parts. Most of the rise was accounted for by the delivery of several airliners from the United States.
Imports of refined petroleum energy products increased by 13.9 per cent, mainly due to higher demand for gasoline. A number of Canadian refineries were temporarily shut down in May.
Exports slipped by 0.1 per cent as shipments of motor vehicle and parts fell by 3.6 per cent amid a disruption in the supply of auto parts from a plant in the United States.
The United States took 74.2 per cent of all Canadian goods exports in May. Exports to the United States slipped by 0.2 per cent while imports increased by 1.0 per cent and as a result, the trade surplus with the United States shrank to $3.29-billion in May from $3.69-billion in April.