Total trade value

Canadian total trade, comprising both exports and imports, is influenced by a complex interplay of domestic and international factors. Global economic conditions, exchange rates, commodity prices and trade agreements play crucial roles in shaping Canada's trade landscape. The United States remains Canada's largest trading partner, but Canada has been actively diversifying its trade relationships, particularly with emerging markets in Asia. Domestic economic conditions, including consumer spending and business investment, significantly impact trade volumes. The strength of the Canadian dollar affects both exports and imports, influencing the competitiveness of Canadian goods abroad and the affordability of foreign products domestically. Additionally, geopolitical events, technological advancements, and shifts in global supply chains contribute to the dynamic nature of Canada's total trade.

Between 2020 and 2024, Canadian total trade experienced significant fluctuations due to global events, particularly the COVID-19 pandemic. In 2020, total trade dropped sharply to 1.3 trillion, a 9.2% decrease from 2019, as both exports and imports were severely impacted by pandemic-related disruptions. However, the subsequent years saw a robust recovery, with total trade reaching 1.5 trillion in 2024, surpassing pre-pandemic levels. This recovery was driven by the gradual easing of restrictions, the reopening of economies and the adaptation of businesses to new trade realities. Key sectors such as energy, automotive and consumer goods played significant roles in this rebound, although they faced challenges like supply chain disruptions and fluctuating demand throughout this period.

For 2025, expectations for Canadian total trade are cautiously optimistic, with projections indicating continued growth. Total trade is expected to reach 1.6 trillion in 2025, representing a modest increase from 2024. This growth is likely to be supported by ongoing economic recovery, both domestically and in key trading partner countries. However, potential challenges include the threat of trade tensions, particularly with the United States, and uncertainties in global economic conditions. The evolution of exchange rates and commodity prices will play crucial roles in shaping trade trends. Additionally, the implementation of new trade agreements and the ongoing diversification of trade partners may influence the composition and volume of both exports and imports in 2025.