world-economy

Canada Posts Largest Current Account Surplus in Two Decades on Oil Export Boom

Canada's current account surplus surged to its highest level since 2005, driven by record crude oil and bitumen exports that far exceeded economist forecasts. The country's trade position strengthens as escalating tariff tensions with the United States threaten to reshape continental commerce. President Trump imposed 50% levies on many Canadian goods, prompting Ottawa to announce retaliatory tariffs on American steel, dairy products, appliances and agricultural equipment set for September 8. The trade measures follow collapsed negotiations between the nations. Canada's energy-export windfall provides fiscal flexibility as North American trade relationships deteriorate. The surplus underscores Canada's reliance on resource exports amid broader economic uncertainty affecting export-dependent economies worldwide.