US Exports to Canada in 2008

American Crude Oil, Natural Gas and Electricity Top Growth Exports

Oct 15, 2009

Exports of Small American Passenger Cars Down 3.6%, yapsnaps (Flickr)

Although exports of U.S. trucks fell 19.2% and medium to large cars delivered dropped 13.6%, Canada still imported US$17.1 billion worth of American vehicles in 2008.

During 2008, the United States of America exported US$213.1 billion worth of goods to Canada. This makes the US Canada’s number one product supplier, well ahead of second-place China which shipped $40 billion in exports to Canada.

America’s $213.1 billion in exports represents a 3.9% increase over the $205.2 billion in shipments to Canada during 2007.

This analysis lists the highest dollar-value, fastest-growing and most rapidly declining export products to Canada from US. While export product descriptions are based on the official Canada Border Services Agency's online customs tariff manual, terms have been translated into plain language to make the text more readable.

Top 15 Exports from USA

The following 15 product categories represent the leading American exports to Canada by dollar value in 2008. The international tariff classification code is shown within brackets for each export.

Among the top 15 U.S. exports to Canada, 7 products represent the automotive industry. All 7 of the vehicle-related American exports suffered declines ranging from 22.3% for other vehicle parts to only 3.2% for small passenger cars. Also America’s top export to Canada for 2008, small passenger cars are those with engines under 3,000 cubic cylinders.

Small cars (code 870323) … US$6.5 billion, down 3.2% from 2007 (4.3% of American exports)
Medium and large-size cars (870324) … $6 billion, down 13.6% (3.9%)
Trucks up to 5 tons (870431) … $4.6 billion, down 19.2% (3%)
Vehicle body parts and accessories (870829) … $4.3 billion, down 15.5% (2.8%)
Non-light petroleum oils other than crude (271019) … $4.2 billion, up 69.5% (2.8%)
Natural gas (271121) … $4.1 billion, up 45.1% (2.7%)
Motor vehicle engines (840734) … $4 billion, down 16.4% (2.6%)
Motor vehicle transmissions (870840) … $2.6 billion, down 11.7% (1.7%)
Aircraft weighing more than 15,000 kilograms (880240) … $2.3 billion, up 16.4% (1.5%)
Crude oil (270900) … $2.2 billion, up 115.8% (1.4%)
Other vehicle parts including power trains (870899) … $1.8 billion, down 22.3% (1.2%)
Gold waste and scrap jewelry (711291) … $1.76 billion, up 43% (1.1%)
Light petroleum oils other than crude (271011) … $1.5 billion, up 105% (1%)
Medicines including anti-depressants and antacids (300490) … $1.5 billion, down 19.4% (1%)
Optical media including blank and recorded discs (852340) … $1.4 billion, up 35% (0.9%).

Fastest-Growing American Exports

Energy exports from America account for 5 of the top 10 growth exports to Canada in 2008. Led by crude and light petroleum oils, fast-growing energy exports include $1.2 worth of American electric energy supplies.

Crude oil (270900) … $2.2 billion, up 115.8% (1.4%)
Light petroleum oils other than crude (271011) … $1.5 billion, up 105% (1%)
Iron (260112) … $994.5 million, up 73.3% (0.6%)
Non-light petroleum oils other than crude (271019) … $4.2 billion, up 69.5% (2.8%)
Natural gas (271121) … $4.1 billion, up 45.1% (2.7%)
Gold waste and scrap jewelry (711291) … $1.76 billion, up 43% (1.1%)
Electric energy (271600) … $1.2 billion, up 35.6% (0.8%)
Optical media including blank and recorded DVD discs (852340) … $1.4 billion, up 35% (0.9%)
Turbo-jet parts including propellers (841191) … $1.25 billion, up 25.8% (0.8%)
Aircraft weighing more than 15,000 kilograms (880240) … $2.3 billion, up 16.4% (1.5%).

Fastest-Declining Exports from USA

If one was to include camping or housing trailers as types of vehicles, one could argue that 9 of the fastest-diminishing American exports to Canada were directly or indirectly related to the big-ticket automotive industry. Perhaps more surprising is the fact that imported American-made medications including anti-depressants and antacids were down by 19.4% among all the stress of the severe recessionary conditions that started during 2008.

Motor vehicle axles (870850) … $1 billion, down 26.6% (0.7%)
Other vehicle parts including power trains (870899) … $1.8 billion, down 22.3% (1.2%)
Motor vehicle engine parts (840991) … $1.18 billion, down 22.3% (0.8%)
Medicines including anti-depressants and antacids (300490) … $1.5 billion, down 19.4% (1%)
Trucks up to 5 tons (870431) … $4.6 billion, down 19.2% (3%)
Motor vehicle engines (840734) … $4 billion, down 16.4% (2.6%)
Vehicle body parts and accessories (870829) … $4.3 billion, down 15.5% (2.8%)
Medium and large-size cars (870324) … $6 billion, down 13.6% (3.9%)
Motor vehicle transmissions (870840) … $2.6 billion, down 11.7% (1.7%)
Trailers and semi-trailers for camping or housing (871610) … $1 billion, down 4.3% (0.7%)

The above categories verify the slowdown that North American economies endured during 2008. But there were some glimmers of hope. For example, exports of American hard-copy newspapers, journals and periodicals were down only 0.7% at $974.4 million despite aggressive competition for news available on the Internet.

And while pessimists expect a much more severe fall in U.S. exports to Canada for 2009 due to further cutbacks in automotive sales, the fact is that the stronger Canadian currency lends itself to higher purchases of American cars and trucks.

Sources: Industry Canada's Trade Data Online, based on Statistics Canada reports as of October 15, 2009 and Canada Border Services Agency online customs tariff manual.

The copyright of the article US Exports to Canada in 2008 in Import/Export is owned by Daniel Workman. Permission to republish US Exports to Canada in 2008 in print or online must be granted by the author in writing.