OTTAWA — Canada posted its first merchandise trade surplus since September as increased shipments of gold and higher oil prices drove exports to their highest level in more than a year.

Statistics Canada said Tuesday the country posted a merchandise trade surplus of $1.8 billion in March compared with a deficit of $5.1 billion in February.

Oil soared in March as the U.S. and Israel attacked Iran in a war that has all but halted tanker traffic through the Strait of Hormuz, a key route for oil from the region.

Nathan Janzen, assistant chief economist at RBC, said the surge in oil prices and another jump in gold exports were the main factors pushing Canada’s trade balance back into surplus in March.

“Beyond those products, the data was mixed but broadly consistent with an external demand backdrop still under pressure from U.S. tariffs, but also still showing signs of stabilization,” Janzen wrote in a report.

Total exports rose 8.5 per cent to $72.8 billion in March, the highest level since January 2025.

The increase came as exports of energy products gained 15.6 per cent at $17.1 billion helped by an 18.9 per cent increase in crude oil exports due to the sudden increase in prices.

Exports of metal and non-metallic mineral products also rose 24.0 per cent to a record $15.3 billion in March as exports of unwrought gold, silver, and platinum group metals, and their alloys — a category largely composed of unwrought gold — increased 37.7 per cent, driven by higher gold exports to the United Kingdom.

Excluding metal and non-metallic mineral products and of energy products, exports rose 1.1 per cent in March.

Meanwhile, total imports fell 1.6 per cent to $71.0 billion in March as imports of consumer goods fell 3.9 per cent to $13.3 billion.

Imports of aircraft and other transportation equipment and parts also dropped 12.8 per cent in March after rising 13 per cent in February.

In volume terms, total exports edged down 0.3 per cent, while import volumes fell 2.0 per cent.

Regionally, Canada’s trade surplus with the United States increased to $7.1 billion March compared with $2.9 billion in February as exports of oil and passenger cars and light trucks rose.

Canada’s trade deficit with countries other than the United States narrowed was $5.3 billion in March compared with $8.0 billion in February.

In a separate report, Statistics Canada said the country’s monthly international trade in services balance posted a deficit of $100 million in March compared with a surplus of $100 million in February as imports of services rose 1.7 per cent and exports of services added 0.5 per cent.

When international trade in goods and services are combined, Statistics Canada said the country posted a total trade surplus of $1.7 billion in March compared with a deficit of $5.0 billion in February.

This report by The Canadian Press was first published May 5, 2026.

The Canadian Press