Chile - Canada Trade 2023 Q2: Surplus & Resource-Tech Ties

Key Market Takeaways: Chile - Canada Trade

The bilateral trade relationship between Chile and Canada is marked by growth, volatility, and a strong surplus in Q2 2023.

• Economic Pulse: Chile posted a $251.52M trade surplus with Canada, exporting $496.15M (double its imports of $244.63M), though both sides saw sharp monthly swings.
• Exchange Structure: Chile - Canada trade statistics reveal a resource-for-tech complementarity—Chile supplies copper (54% of exports) while importing cereals and high-value goods like machinery and pharmaceuticals.
• Strategic Interdependence: The partnership hinges on Chile’s raw material exports and Canada’s advanced manufacturing, creating a stable but uneven value chain.

This bilateral trade snapshot is based on verified customs data from the yTrade database.

Chile-Canada Trade Trend in Q2 2023

Chile Export Performance: Shipments to Canada

• Total Volume: $496.15M in Q2 2023.
• Growth Trend & Context:
  • YoY swings were extreme: May surged 300.81%, while April and June declined (-11.42% and -0.24%, respectively).
• Key Volatility: May’s 60.34% MoM jump was the quarter’s peak, followed by a 27.58% drop in June.

Chile Import Performance: Sourcing from Canada

• Total Volume: $244.63M in Q2 2023.
• Growth Trend & Context:
  • YoY was mixed: April grew 15.71%, but May and June fell sharply (-25.78% and -39.82%).
• Key Volatility: April’s 59% MoM surge contrasted with May’s 37.66% collapse.

Chile - Canada Trade Balance & Market Dynamics

• Net Position: Chile held a $251.52M trade surplus with Canada (Exports: $496.15M > Imports: $244.63M).
• Relationship Status: Chile is a net exporter, with exports doubling imports in Q2. Volatility in both directions suggests uneven demand or supply shocks.

Chile Import Trend from Canada 2023 Q2 (Source: yTrade)**

Chile Export Trend to Canada 2023 Q2 (Source: yTrade)**

Get Historical Chile Canada Trade Records

Chile-Canada Top Trading Products in Q2 2023

Chile Export Profile: What Does Chile Sell to Canada

• Top Commodity: Copper (HS 74) dominates at 54.28% of total exports.
• Demand Driver: Canada uses these raw materials for industrial processing, likely in construction and electronics manufacturing.
• Concentration: Extreme—copper alone accounts for over half of exports, indicating heavy reliance on a single commodity.

Chile Import Profile: What Does Chile Buy from Canada

• Top Commodity: Cereals (HS 10) lead at 21.48% of imports, followed by mineral fuels (HS 27) at 17.29%.
• Dependency Nature: Food security (cereals) and energy security (mineral fuels) are the primary drivers, reflecting strategic needs.

Chile - Canada Trade Relationship Dynamics

• The Exchange Model: Resource-for-Tech Complementarity—Chile exports raw materials (copper, precious stones) while importing high-value goods like machinery (HS 84) and pharmaceuticals (HS 30).
• Value Chain Position: Canada holds the higher value-add position, supplying advanced manufactured goods, while Chile remains a key supplier of raw materials.

Import Analysis by Product: Canada to Chile (Source: yTrade)

Export Analysis by Product: Chile to Canada (Source: yTrade)

Check Detailed Chile-Canada Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

Chile’s trade surplus with Canada is expected to hold steady in Q3 2023, but volatility in copper demand and Canada’s uneven import appetite may trigger sharp swings. The resource-for-tech complementarity will persist, with Chile’s copper exports remaining critical for Canada’s industrial sector. However, traders should brace for potential supply chain disruptions or price fluctuations, especially if Canada’s economic activity slows. The Chile-Canada trade forecast hinges on stable commodity prices and Canada’s ability to sustain high-value exports like machinery and pharmaceuticals.

Strategic Moves

• Lock in Copper Contracts: Chilean exporters should secure long-term agreements with Canadian buyers to mitigate price volatility and ensure steady revenue streams.
• Diversify Import Sources: Reduce reliance on Canadian cereals by exploring alternative suppliers in the U.S. or Mercosur to hedge against sudden demand drops.
• Boost Non-Copper Exports: Chile must expand its export basket—promoting lithium, fresh fruit, or wine—to lessen dependence on copper and tap into Canada’s consumer markets.

Frequently Asked Questions

How did Chile - Canada trade perform in 2023 Q2?

Chile's exports to Canada totaled $496.15M, while imports were $244.63M, showing mixed YoY growth with extreme volatility in both directions.

What are the top exports from Chile to Canada?

Copper (HS 74) dominates, accounting for 54.28% of Chile's exports to Canada, reflecting heavy reliance on this commodity.

What does Chile import from Canada?

Cereals (HS 10) lead at 21.48% of imports, followed by mineral fuels (HS 27) at 17.29%, driven by food and energy security needs.

What is the trade balance between Chile and Canada?

Chile recorded a $251.52M trade surplus with Canada in Q2 2023, with exports doubling imports.