canada imports and exports 2019

Hence, as with Mexico, it is only natural for Canadian exports to concentrate on the large economy within close proximity to the Canadian border. producers and exporters. If the United States is excluded from the geographic HHI calculation, we find that Canada scores much better, with an index of 0.07, meaning that outside of the U.S. market, Canadian exports are diversified. Regionally, imports from the United States were up 5.4% to $391 billion in 2018, while imports from non-U.S. sources grew 6.5% to $216 billion. 1. According to World Trade Organization (WTO) trade statistics, world merchandise exports fell 22% and imports fell 23% from 2008 to 2009. Crude oil, the main component of this category, experienced large price fluctuations, as its average price rose steadily in the first five months of 2018 and then trended downward slightly until October, before falling sharply in November.Footnote 14 Other sectors that posted strong price increases were metal and mineral products (+5.9%) and chemical, plastic and rubber products (+5.4%). Total Imports (2018) $458,781,965,059. Typically, Canada exports large numbers of live animals and significant amounts of meat to the United States and imports a wide variety of meat products. A similar problem exists for services, in addition to the fact that some services data are currently missing from the picture. This study is the first of its kind to support the development and expansion of Indigenous-owned SMEs into the global trading system. While Canadian exports were found to be diversified by product, they are concentrated by geographic market. Against this backdrop of weaker economic growth, the expansion in global merchandise trade volumes slowed across both developed and emerging markets. It is estimated that 20% of exporters to the United States expand or move into new markets each year on average. While this measure is appropriate for evaluating the direct investment flows and corresponding funds exchanged between countries, it does not shed light on the real FDI source country where the ultimate investor originates. And in any case, low-carbon exports don’t relieve us of the responsibility for cutting our own emissions. Trade in services with Canada (exports and imports) totaled an estimated $106.3 billion in 2019. In 2018, the U.S. share of Canadian merchandise exports was 75%; while down from 87% in 2002, this is similar to levels seen in the early 90s (the U.S. share of Canadian exports was 75% in 1990). The country that is in a situation closest to Canada, in terms of gravity model determinants, is Mexico—one of the few countries with an HHI higher than Canada. This HHI score has changed little over the past 28 years, fluctuating between 0.07 and 0.12 since 1990, but always remaining under the 0.15 benchmark, and thus Canadian exports are considered diversified by product. An acceleration in the growth of real exports along with a deceleration in real imports allowed trade to contribute marginally to growth in 2018, after being a drag in 2017. Yen Nee Lee … Canada’s FTAs cover substantially all trade between parties to the agreement. Global Affairs Canada125 Sussex DriveOttawa ON  K1A 0G2Canada, Website: www.international.gc.caEmail: info@international.gc.ca. Source: Statistics Canada, Table 36-10-0008-01; retrieved on 24-06-2019. In contrast to last year, commercial services exports rose modestly in 2018, up 5.2%, or $3.6 billion, to reach $73 billion. We strongly support free trade as a means to open foreign markets to Canadian goods and services, grow Canadian businesses, create good-paying jobs and contribute to middle-class prosperity. The HHI increases (a rise in concentration) when the U.S. share of Canadian exports rises, and the HHI decreases, becoming more diverse when the U.S. share declines. A sharp increase in external demand for the product may appreciate the country’s currency, making imports relatively cheaper and exports more expensive—both of which reduce the competitiveness of other industries and further concentrates the economy on the dominant export. Thus, women-owned SMEs further contribute to the diversification agenda of the Government of Canada.Footnote 48. import and export values throughout this report, except where data reflecting exports to China from Canada and elsewhere were available. Diversification in the regional distribution of exporters, type of exporter, and ownership of exporting firms is important because these dimensions of diversification spread the gains from trade across Canada and among Canadians. World merchandise imports grew 10%Footnote 7 in 2018 to reach US$20 trillion, with Asia leading growth at 13%, followed by South and Central America and the Caribbean (11%) and Africa (11%). In China, economic growth slowed to 6.6% in 2018 from 6.8% the previous year. Given that agreement has only been in effect since December 30, 2018, not enough data was available to produce a meaningful analysis of the impact of the CPTPP on Canada’s trade. There are various avenues to greater geographical diversification. In 2019, total crude oil exports from Canada reached 3.7 MMb/d (592.2 thousand m³/d) an increase of 3% from 2018. Between 2010 and 2018, the pattern of ports and marine shipping trade between Canada and the United States shows a range-bound pattern. This objective requires an annual average growth rate of 5.2% from 2017, which is higher than the trend from recent years (2011-2017). Source: Bank of Canada; retrieved on 21-06-2019. Ivey PMI: a value of 50 means a neutral outlook, greater than 50 means more firms have a positive outlook than a negative outlook, lower than 50 means more firms have a negative outlook than a positive outlook. Growing FDI in the finance and insurance sector, which was responsible for approximately one quarter of total FDI stock growth in 2017, only contributed 7.5% of FDI stock growth in 2018. As part of Canada’s trade diversification strategy, we want to help SMEs navigate international markets and capitalize on market access gains achieved under Canada’s trade agreements. Some early evidence shows that Canadian exporters are more likely to adopt technologies than non-exporters (although the impact of size on technology adoption and exporting status requires further analysis),Footnote 41 and according to Bédard-Maltais (2018), digitally advanced companies are 70% more likely to export. America's exports to Canada amounted to. $229.7 billion or 50.7% of its overall imports. The deceleration in 2018 was fairly evenly spread between advanced economies and emerging economies. It's critical to note that not all oil imports into Canada are the same; their nature differ when it comes to the west and east. Unlike the previous year, the growth of Canadian exports was driven more by an expansion in volumes than in export prices, as volumes were up 4.1% compared to a 2.2% growth in prices. Sovereign spread refers to the difference in 10-year government bond yields between a given country and the benchmark yield for safe assets in the same region. Canada’s goods imports rose 5.8% to $607 billion in 2018, with increases in all sectors, led by metal ores and minerals, energy products, and aircraft and other transportation equipment. Other movements among the top merchandise importers include the Netherlands overtaking Hong Kong SAR in 7th place, and India overtaking Italy in 10th place. Health Canada approved roughly 7,389 kilograms of dried cannabis for export in 2019 for medical or scientific use. While there are many ways one can measure diversification, the most common measure, which will be used here, is the Herfindahl-Hirschman Index (HHI). As Canada’s Minister of International Trade Diversification, I am delighted to present the 20th annual edition of the State of Trade Report for 2019. An acceleration in the growth of real exports along with a deceleration in real imports combined to make the turnaround possible.Economic output rose by 1.5% (seasonally adjusted at annual rates) in Q1 2018, then to 2.5% in Q2, before trailing off in the second half of the year (2.1% in Q3 and 0.3% in Q4). The United States remained the top economic destination for FDI inflows in 2018, in spite of a 9.2% decline. Facilitate SMEs - In 2017, SME made up 99.8% of Canadian employer businesses but only 11.7% exported, 6. Canada accounted for almost 2 % of the EU's total external trade in goods in 2018. Declines in automobile sales, along with U.S. tariff actions also weighed on the Chinese economy in 2018. It describes the events that took place in the global economy and trade in 2018, the main developments in Canada’s economy and those of its most important partner economies and regions. The Ontario Trade Fact Sheets are one-page summaries of Ontario's trade relationships with key partners based on data supplied by Statistics Canada. Concomitantly, average hourly wages grew by 2.9% in 2018, the highest growth since 2012 (2.9%), responding to tighter labour market conditions. After a broad-based upswing in growth that lasted nearly two years, the global economy started to decelerate in the second half of 2018, causing global growth in 2018 (3.6%) to be slightly lower than that for 2017 (3.8%). 2017 is the base year for this calculation as it was the latest year for which full-year data was available at the time of the announcement. Overseas refers to non-U.S. destinations. “Digitize Now: How to Make the Digital Shift in Your Business.” Business Development Bank of Canada (2018). Source: Statistics Canada, Table 36-10-0021-01; retrieved on 24-06-2019. The beauty of Canada is that the list is long. By contrast, Canadian direct investment abroad (i.e. Different GST/HST rules apply for businesses that import or export goods or services. On the goods side, oil and gas extraction was up 7.1% in 2018, causing its share of GDP to increase to 5.5% from 5.3%. Employment growth in Saskatchewan was the second-weakest among provinces and territories, and the unemployment rate was above the national average. Market information, trade events and services to help Canadian agri-food businesses export their products. Moreover, the gains from trade can be spread more evenly throughout Canada, notably through diversification of exporter ownership. Employment growth in manufacturing was tepid at 0.2% in 2018, but the unemployment rate (3.6%) and wage growth (3.3%) were solid. The statistic shows the value of exports of goods from Canada from 2009 to 2019. Deceleration was widespread, even in countries like China and India. “Fostering Greater SME Participations in a Globally Integrated Economy.” OECD Discussion Papers (2018). To address these issues and to provide price relief to WCS, the Alberta government put in place mandated crude oil production cuts, and made public its intention to acquire locomotives and rail cars for crude oil transportation. All of these areas appear promising for boosting Canadian export diversity and should be considered further in the Government of Canada’s trade diversification strategy. Among developed economies, the Netherlands increased its commercial services exports by 11% to US$241 billion. Recognizing the country’s high export concentration, the federal government has set a target of increasing Canada’s overseasFootnote 1 exports by 50% to $284 billion by 2025. In North America, commercial services imports increased 3.2%, recording the second-slowest regional growth rate. Excluding energy, overall commodity prices have remained relatively stable. Oil exports and oil imports: Canada-U.S. patterns. China's imports and exports fell more than expected in September. Source: Statistics Canada, Table 36-10-0014-01; retrieved on 24-06-2019. Reinvested earnings also climbed $3.0 billion, while other FDI inflows declined marginally. Three key take-aways can be gleaned from this city-level analysis for Canada’s export diversification strategy. However, these gains were partially offset by the combination of a widening income deficit and the services trade balance moving sideways. Canada’s Need to Diversify Stronger than Ever. We export half of our beef/cattle, 70% of our soybeans, 70% of our pork, 75% of our wheat, 90% of our canola and 95% of our pulses. Top 10 Canadian Imports from the US America's exports to Canada … Quebec’s unemployment rate reached a historical low of 5.5%, despite slower employment growth (0.9%). Canada’s exported goods totaled $281.8 billion during the first 9 months of 2020. Employment in the forestry, fishing, mining, quarrying, and oil and gas sector grew by 3.3% in 2018, but overall employment is still below the 2014 peak (373,600), and the sector had the highest unemployment rate and a slower wage growth than average, despite being the second-highest paying sector in terms of average hourly wage. According to the Canadian Hemp Trade Alliance, Canada’s hemp acreage and export value are both up more than 20% this year. Exports with a value of less than $150 million over the October 2017 to September 2018 period were excluded. • Canada’s exports to the U.S. are … Lowering trade barriers through free trade agreements, Export Development Canada's findings on diversification, Chapter 3.3 New dimensions of trade diversification. EDC research also finds that those exporters able to reach new markets and export more products exhibit superior firm performance. Source: Statistics Canada, Table 36-10-0104-01; retrieved on 24-06-2019. The Internet is increasingly being used as a cross-border delivery method for digital goods and services. Foreign Crude Oil Imports by Province - 2015-2019. Services imports expanded by 4.2% to reach $146 billion. Visit Current border measures and requirements for information about how COVID-19 is affecting travellers, border services, programs and business. If you import goods into Canada or export goods to other countries, you need to register for an import-export program account.. We will use your import-export program account number to process customs documents.. To avoid delays in releasing your goods at the border, open your program account before you import or export goods. Cross-border trade in these types of products benefits from routing items more efficiently, predicting arrivals and even integrating artificial intelligence into the complex web of production and distribution. These include using free trade agreements to give Canadian exporters better access to foreign markets; accessing fast-growing markets early; using the U.S. market as a stepping stone to overseas markets; leveraging digital technologies; increasing SME participation in international trade; and focusing on the future growth of cities to identify new export opportunities. Energy led the way, advancing $14 billion (15%) to $111 billion, followed by consumer goods ($3.6 billion) and forestry, building and packaging products ($3.4 billion). However, the growth of energy prices slowed from 22% in 2017 to 6.2% in 2018. The economy roared back to life in the third quarter as pandemic-related restrictions on businesses and social activities eased. As a result, Canada and Mexico switched places in the ranking of global merchandise importers. Both India and Japan dropped a place in the rankings as Ireland leapfrogged over them into 7th place, due to high growth (14%). In Japan, economic growth declined to 0.8% in 2018 from 1.9% in 2017. There was a strong increase in import growth of products that benefited from tariff reductions of 0.1 to 5 pp. The Canadian economy, and by extension Canadians, gain from this trade in many ways, with the growth of trade linked to higher incomes and living standards (State of Trade, 2012). Despite accounting for 99.8% of employer businesses and 89% of all private-sector jobs, only 12% of SMEs exported goods and services outside of Canada. European Commission. “Merchandise Trade Performance since the Canada-Korea Free Trade Agreement Entered into Force in 2015.” Global Affairs Canada, Office of the Chief Economist, Working paper (2019). However, in the midst of all this turbulence, Canada’s exports and imports both rose in 2018, with the total value of trade in goods and services reaching a record high of $1.5 trillion. The average price of Canada’s crude oil exports also increased 4% in 2019 resulting in an overall increase in crude oil export values. Within manufacturing, durables grew by 2.5% in 2018, despite a 1.4% decline in motor vehicle and parts manufacturing. Canadian exports to the United States edged down in September by 1.6%, while imports edged up 1.2% (mainly on volumes of crude oil); as a result, Canada's trade surplus with the United States narrowed from $2.9 billion in August to $2.0 billion in September. Non-residential business investment contributed positively to growth, but its contribution was low at 0.2 percentage point. Each year, roughly 20% of Canadian exporters cease exporting and a somewhat larger number begin to export for the first time. Digital trade - Between 2006 and 2016, exports of ICT enabled services grew 67%, 5. Trade has been at the centre of the world’s attention during the past year. China and India, the two largest emerging economies, experienced strong commercial services exports growth in 2018, at 17% and 11%, respectively. “Benefits from Fast Growing Export Relationships.” Global Affairs Canada, Office of the Chief Economist, Working paper (2019a). In fact, the HHI tracks the U.S. share of Canadian exports extremely closely—with a correlation of 0.9997. The Strategy will focus on three key components: investing in infrastructure to support trade, providing Canadian businesses with resources to execute their export plans, and enhancing trade services for Canadian exporters”.Footnote 25. Similar to economic growth, Canadian employment growth moderated in 2018—up by 241,100 jobs compared to 336,500 jobs in 2017. Some 11% of women-owned SMEs reported domestic administrative obstacles as an important barrier to exporting at a greater rate, compared with 10% of men-owned SMEs and 7.6% of equally-owned SMEs. Data: Statistics Canada, Survey on Financing and Growth of Small and Medium Enterprises 2017, Note: Due to rounding, the total does not add up to 100%. Beef and veal exports by country - year-to-date ; 2020 - October (Canadian dollars) 2019 - October (Canadian dollars) % Difference 2020 - October quantity(kg) risks that affect multiple markets at once. Nearly half sell exclusively to the United States, and the other 55% sell to both the United States and other international markets. “Measuring Canadian Export Diversification.” Latest Developments in the Canadian Economic Accounts, Statistics Canada, Cat. Figure 1 shows that electricity net export volumes decreased 2% from 48.2 TW.h in 2018 to 47.0 TW.h in 2019. In 2019, Canada bought US$453.1 billion worth of imported products up by 8% since 2015 but down by -1.5% from 2018 to 2019. Preliminary research results indicate that a one percentage point increase in the growth rate of an import market caused the level of Canadian exports to expand by 0.11%, with an additional gain of 0.16% if Canada was already active in that market prior to the growth. “Canada’s Need to Diversify Stronger than Ever.” CanadExport, Global Affairs Canada (2019c). Our approach is to ensure that increased trade and investment and our trade diversification strategy support meaningful and sustainable growth for Canadian citizens, businesses and communities. Merchandise Trade statistics data for Canada (CAN) including exports and imports, applied tariffs, top exporting and importing countries, effectively applied and MFN tariff along with most exported and imported product groups, along with development indicators such as GDP, GNI per capita, trade balance and trade as percentage of GDP for Most Recent Year. Based on Western Canada Select (WCS) prices. A recent study by Sekkel (2019) looked at the participation of (SMEs) in international trade. Canada’s Merchandise Trade Performance with the. Services trade with the EU posted a large gain, with Canadian exports rising $1.5 billion, or 8.0%, to reach $21 billion. Both OCE analyses indicate that free trade agreements are effective means of lowering barriers for Canadian exporters to access foreign markets, with Canadian exports gaining in post-FTA periods, especially for products with higher tariff reductions. External shocks it accelerated in the post-CKFTA era as Canadian exports extremely closely—with a correlation of 0.9997 international and... “ Indigenous-owned exporting small and medium-sized Enterprises ( SMEs ) for different purposes, and are limited! Comprised 37 % of world GDP in 2018 5415 and 8112 453.1 billion worth of products the. The top 40 cities worldwide for Canadian exporters cease exporting and a low sectoral rate... 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