Monthly trade report: February 2026

ISSN 2819-408X

Highlights

• In February, Canada’s goods and services exports increased by 5.2% (see column “m/m” in Table 1), driven mainly by higher exports of motor vehicles and parts, reflecting a recovery in auto production in Canada following prolonged seasonal stoppages in January.
• Goods and services imports rose 6.3%, largely due to increased imports of gold, motor vehicles and parts, and energy products.
• Trade with the United States rose sharply in February, with goods exports up 4.4% (mainly motor vehicles), while goods imports surged 13.6% (gold and passenger cars and light trucks).
• Goods trade with countries other than the United States also increased in February, driven mainly by higher exports to the United Kingdom, Australia, and China, and higher imports from Australia and the European Union.
• Both goods exports to, and imports from, countries other than the United States reached record highs.

Table 1: Canada’s trade performance – February 2026

Note: “m/m” is the change from the previous month; “YTD” is the year-to-date (February to recent month) cumulative change compared to the same period in the previous year.
Data: Statistics Canada. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada.

Figure 1: Canada’s monthly trade performance

Data: Statistics Canada Tables 12-10-0011-01 and 12-10-0144-01. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada.

Industry view - exports

Following a decline of 5.2% in January, goods exports increased sharply in February, rising 6.4% to reach $66.3 billion­—the highest level since March 2025. Gains were recorded in almost all product categories.

Exports of motor vehicles and parts surged 24.2% after a sharp decline in the previous month, resulting in passenger cars and light trucks contributing the most to the monthly increase. This rebound reflected a recovery in auto production in Canada following prolonged seasonal stoppages in assembly plants in January for model changeovers and production line maintenance. Exports of metal and non-metallic mineral products also rose, driven by higher exports of unwrought gold to the United Kingdom and unwrought aluminum and aluminum alloys to the United States. Exports of farm, fishing and intermediate food products increased as well, mainly due to higher shipments of barley and soybeans to China and canola exports to China, France and Japan. Several other product categories posted notable gains in February, including energy products, consumer goods and metal ores and non-metallic minerals. However, exports of aircraft and other transportation equipment declined significantly for the second consecutive month, falling 7.3% in February.

Exports of services increased 1.5% in February, with a 4.7% surge in transportation services. Exports of commercial services rose 1.1%, reflecting growth in financial services in particular. Travel services exports also contributed to the monthly increase.

Figure 2: Exports by industry and sector (monthly % change)

Note: Metal & non-metallic mineral products include intermediate or semi-finished products, while metal ores & non-metallic minerals include raw ores and minerals (e.g., iron ore, potash, stone).
Data: Statistics Canada Tables 12-10-0163-01 and 12-10-0144-01. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada

Industry view - imports

Goods imports surged 8.4% to reach a record $72.1 billion in February. Increases were observed across all product categories except farm, fishing and intermediate food products.

Higher imports of metal and non-metallic mineral products contributed the most to the monthly increase, largely reflecting increased purchases of gold and gold waste and scrap from the United States. Imports of motor vehicles and parts also rose, with motor vehicle engines and parts posting the largest gains within the group, coinciding with a rebound in motor vehicle production in Canada following January’s production stoppages. Imports of energy products increased in February, supported by higher imports of crude oil, bitumen, and aviation fuel from the United States. Consumer goods, metal ores and non-metallic minerals, as well as basic and industrial chemical, plastic and rubber products, also recorded notable gains.

Services imports decreased 0.7% in February, as commercial services imports fell 2.0%—mainly due to declines in financial services—while increases in transportation and travel services imports partially offset the overall decrease.

Figure 3: Imports by industry and sector (monthly % change)

Note: Metal & non-metallic mineral products include intermediate or semi-finished products, while metal ores & non-metallic minerals include raw ores and minerals (e.g., iron ore, potash, stone).
Data: Statistics Canada Tables 12-10-0163-01 and 12-10-0144-01. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada.

Global markets

Goods trade with the United States increased sharply in February. Exports rose 4.4%, in large part because of higher shipments of passenger cars and light trucks, while imports surged 13.6%, led by higher imports of gold and passenger cars and light trucks. As imports grew more than exports, Canada's goods trade surplus with the United States narrowed from $4.9 billion in January to $1.7 billion in February, the smallest (non-pandemic) surplus since December 2018.

Goods exports to countries other than the United States rose 10.5% in February to reach a record $22.3 billion, mainly reflecting higher exports to the United Kingdom (gold), Australia (gold) and China (various products). Goods imports from countries other than the United States increased 1.6% in February, also reaching a record high. Higher imports from Australia (gold) and the Netherlands (pharmaceutical products) were partially offset by lower imports from Peru (gold ore) and China (machinery).

Figure 4: Goods trade by main markets (monthly % change)

Data: Statistics Canada Table 12-10-0011-01. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada.

Prices and volumes

February’s increase in goods exports was driven primarily by volumes, with total export volumes up 4.9%, on the strength of motor vehicles and parts volumes (+25.7%). Export prices supported this growth to a smaller extent, rising 1.6% from January.

Volumes were also primarily responsible for the gains in goods imports, with import volumes up 7.1% while prices rose by 1.1%. The main driver of this surge in volumes was imports of metal and non-metallic mineral products—gold’s product category—which increased 33.1% in import volumes and 9.5% in prices.  

Both the Canadian dollar and the price of oil have been on upward trajectories this winter, following the slowdown in the summer and fall months. The Canadian dollar went up 0.68 U.S. cents in February, reaching 73.26 cents. This marks the fourth consecutive month of growth, and the highest value in the last year.

Western Canada Select, the benchmark price for western Canadian crude oil, rose to US$50.33 in February, the highest price since September 2025.

Figure 5: Goods trade (monthly % change in volume and price indices)

Data: Statistics Canada Table 12-10-0168-01. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada.

Figure 6: Exchange rate & oil prices

Data: Bank of Canada, Government of Alberta.
Source: Office of the Chief Economist, Global Affairs Canada.

What to watch

• Canada has been largely insulated from the conflict in the Middle East, with primary transmission channel through rising energy prices and supply risks. As a net energy exporter, higher prices faced by consumers could be offset by increasing revenue for producers.
• Urea prices have risen significantly this year as the conflict in the Middle East severely disrupted global fertilizer markets, and this may ultimately lead to higher global food prices.
• Canada’s real GDP edged up 0.1% in January, supported by gains in goods-producing industries, with advance estimates pointing to another 0.2% increase in February.
• The proposed phase 2 expansion of LNG in B.C. advanced a step forward towards an investment decision, with recent new commercial agreements in late-March. Should the project go ahead, the expansion could double production capacity and establish Canada as a major global LNG supplier. January 2026 LNG exports ramped up, with Canada exporting 32.9 million cubic metres of LNG per day (Mm3/d), up from 13.2 Mm3/d in December.

Next release: May 5, 2026.

Table 2: Trade by industry sector – February 2026

Note: “m/m %” is the change from the previous month; “YTD %” is the year-to-date (February to recent month) cumulative change compared to the same period in the previous year.
Data: Statistics Canada Tables 12-10-0163-01 and 12-10-0144-01. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada

Table 3: Goods trade by main markets – February 2026

Notes: The Indo-Pacific region total includes only the 9 markets for which data are available. “m/m %” is the change from the previous month; “YTD %” is the year-to-date (February to recent month) cumulative change compared to the same period in the previous year.
Data: Statistics Canada Table 12-10-0011-01. Balance of payments basis, seasonally adjusted.
Source: Office of the Chief Economist, Global Affairs Canada