Statistics Canada announced on Wednesday that Canada’s merchandise trade deficit stood at CAD1.12 billion in July, widening from a revised CAD0.06 billion gap in June (originally a CAD0.14-billion surplus).

Economists had expected a deficit of CAD0.40 billion.

According to the report, the country’s exports decreased 0.9 percent m-o-m in July, due mainly to decline in energy product exports (-6.7 percent m-o-m). Meanwhile, imports rose 1.2 percent m-o-m in July, mostly on higher imports of consumer goods (+2.4 percent m-o-m).