Canada’s Auto Trade Exceeds $2 Billion; U.S. Continues as Top Trading Partner

According to information from DesRosiers Automotive Consultants (DAC), the Canadian automotive trade has now surpassed the $200 billion mark.

Both product imports and exports faced a sharp decline of approximately 23.3% and 23.2%, respectively, in their dollar value for the year 2020. However, they have seen a considerable rebound since 2022; with imports increasing by 21.1% in 2023 from the previous year, surging to over $140 billion. Meanwhile, exports have also experienced growth, although they have not yet returned to the levels seen in the early 2000s.

Andrew King, Managing Partner at DAC, commented on the evolving landscape, stating, “The era when Canada maintained robust trade surprises in automotive is over. The rise of electric vehicles (EVs) is instigating transformative changes across the auto industry, affecting everything from production systems to emerging market players and escalating trade tensions.”

For the year 2023, the export of Canadian auto parts hit $23.5 billion, while exports of light vehicles amounted to $53.5 billion. On the import side, auto parts and light vehicles totaled $47.5 billion and $70.4 billion, respectively. DAC highlighted that the United States remains Canada’s largest trading partner, accounting for 95.3% of Canada’s total automotive exports and 57.7% of its overall automotive imports.

In contrast, Mexico represents 2.5% of automotive exports and 14.5% of automotive imports from Canada.