Diversifying exports outside of the United States has emerged as a critical offset to tariff pressures for Canada with higher gold exports exaggerating gains from foreign markets. Total nominal merchandise exports declined by just 0.8% or $5.9 billion1 year-over-year, a comparatively modest outcome that defied initial concerns of severe losses. Much of the $34.6 billion, or 6%, year-over-year decline in Canadian merchandise exports to the U.S. in 2025 was offset by a $28.6 billion rise in exports to the rest of the world. It reduced the U.S. share of total Canadian exports from 76% in Q4 2024 to 68% in Q4 2025. The ... (full story)