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Canada

canada flagU.S.-Canada Trade Facts

U.S. goods and private services trade with Canada totaled $707 billion in 2012 (latest data available). Exports totaled $354 billion; Imports totaled $354 billion. The U.S. goods and services trade surplus with Canada was $40 million in 2012.

Canada is currently our largest goods trading partner with $632 billion in total (two ways) goods trade during 2013. Goods exports totaled $300 billion; Goods imports totaled $332 billion. The U.S. goods trade deficit with Canada was $32 billion in 2013.

Trade in private services with Canada (exports and imports) totaled $91 billion in 2012 (latest data available). Services exports were $61 billion; Services imports were $30 billion. The U.S. services trade surplus with Canada was $31 billion in 2012.

Exports

Canada was the United States' largest goods export market in 2013.

U.S. goods exports to Canada in 2013 were $300.2 billion, up 2.6% ($7.7 billion) from 2012, and up 77% from 2003. U.S. exports to Canada are up 319% from 1993 (Pre NAFTA). U.S. exports to Canada account for 19.0% of overall U.S. exports in 2013.

The top export categories (2-digit HS) in 2013 were: Vehicles ($51.7 billion), Machinery ($45.3 billion), Electrical Machinery ($26.8 billion), Mineral Fuel and Oil (oil and natural gas) ($24.7 billion), and Plastic ($13.0 billion).

U.S. exports of agricultural products to Canada totaled $21.3 billion in 2013, our 2nd largest U.S. Ag export market. Leading categories include: prepared food ($1.9 billion), fresh vegetables ($1.8 billion), fresh fruit ($1.8 billion), snack foods ($1.3 billion), and non-alcoholic beverages ($1.2 billion).

U.S. exports of private commercial services* (i.e., excluding military and government) to Canada were $61.2 billion in 2012 (latest data available), 4.7% ($2.8 billion) more than 2011 and 145% greater than 2002 levels. It was up 260% from 1993 (Pre-NAFTA).  Other private services (business, professional and technical services), and travel categories accounted for most of the U.S. services exports to Canada.

Imports

Canada was the United States' 2nd largest supplier of goods imports in 2013.

U.S. goods imports from Canada totaled $332.1 billion in 2013, a 2.5% increase ($8.1 billion) from 2012, and up 50% from 2003. U.S. imports from Canada are up 308% from 1993 (Pre NAFTA). U.S. imports from Canada account for 14.6% of overall U.S. imports in 2013.

The five largest import categories in 2013 were: Mineral Fuel and Oil (crude and natural gas) ($109.4 billion), Vehicles ($55.7 billion), Machinery ($19.8 billion), Plastic ($10.6 billion), and Special Other (returns) ($10.2 billion).

U.S. imports of agricultural products from Canada totaled $21.8 billion in 2013, our largest supplier of Ag imports. Leading categories: snack foods (including chocolate), ($3.2 billion), red meats, fresh/chilled/frozen ($1.9 billion), other vegetable oils ($1.7 billion), live animals ($1.7 billion), and processed fruit and vegetables ($1.4 billion).

U.S. imports of private commercial services* (i.e., excluding military and government) to Canada were $29.8 billion in 2012 (latest data available), up 4.8% ($1.4 billion) from 2011, and up 66% from 2002 level. It was up 227% from 1993 (Pre-NAFTA). The other private services (business, professional and technical services), and travel categories accounted for most of U.S. services imports from Canada.

Trade Balance

The U.S. goods trade deficit with Canada was $31.8 billion in 2013, a 1.4% increase ($437 million) over 2012. The U.S. goods trade deficit with Canada accounted for 4.6% of the overall U.S. goods trade deficit in 2013.

The United States has a services trade surplus of $31.4 billion with Canada in 2012 (latest data available), up 4.7% from 2011.

Investment

U.S. foreign direct investment (FDI) in Canada (stock) was $351.5 billion in 2012 (latest data available), a 6.0% increase from 2011.

U.S. direct investment in Canada is led by nonbank holding companies, manufacturing, and finance/insurance sectors. 

Canada FDI in the United States (stock) was $225.3 billion in 2012 (latest data available), up 6.9% from 2011.

Canada direct investment in the U.S. is led by the finance/insurance, banking, and manufacturing sectors. 

Sales of services in Canada by majority U.S.-owned affiliates were $125.6 billion in 2011 (latest data available), while sales of services in the United States by majority Canada-owned firms were $74.6 billion.


*NOTE: Refers to private services trade not including U.S. Military sales, direct defense expenditures, and other miscellaneous U.S. Government services.

U.S.-Canada Agreement on Government Procurement

On February 12, 2010, United States Trade Representative Ron Kirk signed a U.S.-Canada agreement on government procurement.

The new procurement agreement provides for permanent U.S. access to Canadian provincial and territorial procurement contracts in accordance with the World Trade Organization (WTO) Government Procurement Agreement (GPA). In addition, the agreement enables American companies to compete for Canadian provincial and municipal construction contracts not covered by the GPA through September 2011.

The United States will provide reciprocal access for Canadian companies to 37 states already covered by the GPA and a limited number of Recovery Act programs.

U.S.-Canada Agreement on government procurement (English)

U.S.-Canada Agreement on government procurement (French)

 

Softwood Lumber

Warehouse

Resolution Overview

Consistent with the terms of the Agreement, as amended, the United States and Canada will end a large portion of the litigation over trade in softwood lumber, and unrestricted trade will occur in favorable market conditions.

When the lumber market is soft, as it is currently, Canadian exporting provinces can choose either to collect an export tax that ranges from 5 to 15 percent as prices fall or to collect lower export taxes and limit export volumes. The agreement also includes provisions to address potential Canadian import surges, provide for effective dispute settlement, distribute the antidumping and countervailing (anti-subsidy) duty deposits currently held by the United States, and discipline future trade cases.

An industry-led bi-national working group will also be established under the agreement to discuss provincial policy reforms.

2006 U.S.-Canada Softwood Lumber Agreement

Extension to the 2006 U.S.-Canada Softwood Lumber Agreement