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Canada trade deficit narrows in April

Canada's trade deficit narrowed to C$370 million in April from a revised gap of C$936 million in March, Statistics Canada said June 2.

Exports went up 1.8% to a record high C$47.7 billion in April and rose 14.7% year over year. Motor vehicles and parts, led by passenger cars and light trucks, climbed 4.4% in April to C$8.1 billion. Energy products and forestry products and building packaging materials also contributed to the monthly hike in total exports.

Imports also peaked in April at C$48.1 billion, edging up 0.6% from the previous month and surging 7.4% year over year. Higher imports of consumer goods, electronic and electrical equipment and parts contributed to the monthly increase, along with basic and industrial chemical, plastic and rubber products.

Canada's exports to the U.S. jumped 5.4% to a record high C$36.1 billion in April, while imports from the U.S. only rose 1.1% to C$31.1 billion.

As a result, Canada's trade surplus with the U.S. widened to C$5.0 billion in April from C$3.4 billion in March, the largest surplus since May 2014.

Exports to countries other than the U.S. declined 7.8% in April while imports fell 0.2%. Lower exports to the U.K., China, Spain and Switzerland accounted for the bulk of the decline in exports.