Canada's Auto Exports Crash to Multi-Year Low as Seasonal Shutdowns and Trade Slump Hit Hard

Canada's exports of motor vehicles and parts plunged 21.2% to $5.4 billion in January, the lowest level since September 2021, according to Statistics Canada's latest merchandise trade report. Passenger cars and light trucks recorded the steepest drop, falling 32.5%. Aircraft and transport equipment exports, which had a record year in 2025, also stumbled in January, sliding 16%. Overall trade with the United States fell 3.8% in January, with imports also declining 3.4%. Canada's exports to non-U.S. countries dropped 6.5% following a record high in December, driven largely by reduced gold shipments to the United Kingdom. Energy exports offered a rare bright spot, rising 4% month-over-month as a deep U.S. winter chill boosted demand for Canadian natural gas.