Canada’s merchandise trade surplus increased to $4.2 billion in May, the largest surplus in four years, as exports rose to a record high, Statistics Canada said Tuesday.

The agency said the result compared with a surplus of $3.4 billion in April, which was revised from its initial reading of $2.7 billion.

BMO senior economist Robert Kavcic said Canadian trade surpluses can come and go quickly with swings in oil prices.

“This is probably the high watermark for now,” he said. “Still, net exports look to add firmly to growth in Q2, another data point that suggests the Canadian economy has snapped out of its two-quarter funk.”

Total exports gained 0.9 per cent in May to post the fourth consecutive monthly increase and rise to a record $77.1 billion.

The increase came as exports of metal ores and non-metallic minerals rose 16.1 per cent, boosted by higher sulphur exports and new shipments of gold ores and concentrates to China.

Exports of energy products fell two per cent as exports of crude oil declined 5.4 per cent due to lower volumes. The move lower was moderated by a 55.1 per cent increase in exports of nuclear fuel, a gain of 7.4 per cent for natural gas and a 4.6 per cent increase for refined petroleum energy products.

On the other side of the trade equation, total imports edged down 0.2 per cent in May to $72.9 billion, as lower imports of metal and non-metallic mineral products more than offset other gains.

Imports of consumer goods rose 3.5 per cent as imports of miscellaneous goods and supplies gained 10 per cent, boosted by imports of batteries and battery chargers from China.

In volume terms, total exports were essentially unchanged, while imports rose 0.4 per cent.

Regionally, Canada’s trade surplus with the U.S. widened to $11.6 billion, its largest surplus with the country’s largest trading partner since January 2025, as exports to the U.S. rose 1.5 per cent and imports fell 1.4 per cent. The result compared with a trade surplus with the U.S. of $10.3 billion in April.

Canada’s trade deficit with countries other than the U.S. was $7.4 billion in May compared with $6.9 billion in April.

When the country’s trade in goods and services were combined, Canada’s total trade surplus with the world was $3.8 billion in May compared with $3.2 billion in April.

This report by The Canadian Press was first published July 7, 2026.