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Canada and Germany's Trade Relationship

Germany is Canada’s most important trading partner within the European Union, supported by strong economic ties in the fields of mechanical engineering, the automotive industry, raw materials, and clean technologies. The annual volume of bilateral trade in goods has exceeded the 30 billion Canadian dollar mark, driven by growth of over 40% since the provisional application of the Comprehensive Economic and Trade Agreement (CETA) in 2017. Driven by shared commitments to green energy and industrial innovation, this bilateral relationship continues to serve as a key economic bridge between North America and Central European markets.

Picture of ship coming to Canada
© ChatGPT

Overview 

Canada's trade with Germany is heavily driven by physical goods. 

  • Goods Trade: Total volume reaches $29.2B CAD (€18.2B). Canada imports $20.2B CAD (€12.5B) from Germany while exporting only $9.1B CAD (€5.7B). 
  • Services Trade: Total volume sits at $9.0B CAD (€5.5B). Imports account for $4.4B CAD (€2.7B) while exports stand at $4.6B CAD (€2.8B), giving Canada a minor trade surplus of $0.2B CAD. 
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© CGCIC

Canadian Exports to Germany

Canadian exports of goods to Germany totaled $9.17B CAD in 2025, driven largely by energy commodities, aerospace components, raw materials, and manufactured goods.

  • Energy & Aerospace: Energy products represents the single largest export category at $1.76B (19.2%), while Aircraft & other transportation equipment & parts forms the second-largest sector at $1.20B (13.1%).
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© CGCIC

A highlight of key commodities exported from Canada to Germany in 2025 across major energy, nuclear, and precious metal categories:

  • Ash Containing Precious Metals or Compounds: Serves as the largest single highlighted export commodity at $1.2B CAD, making up 5.59% of its sector.
  • Crude Petroleum & Bituminous Mineral Oils: Represents a major energy export valued at $802.2M CAD, accounting for 8.03% of its sector.
  • Uranium Hexafluoride: Accounts for $581.1M CAD in nuclear energy exports, comprising 5.82% of its sector.
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© CGCIC

Canadian Imports from Germany

Canadian imports of German goods reached $20.2B CAD in 2025, heavily concentrated in high-value manufactured products and industrial machinery. 

  • Advanced Manufacturing & Engineering: Industrial machinery, equipment & parts represents the largest single import category at $6.40B (25.5%), followed closely by Motor vehicles & parts at $5.58B (22.2%). Combined, machinery and automotive products account for nearly half of all German goods imported into Canada. 
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© CGCIC

A highlight of key commodities imported into Canada from Germany in 2025 across major industrial categories:

  • Passenger Cars & Light Trucks: Serves as a major driver of automotive trade at $4.8B CAD, comprising 85.2% of its broader industry sector.
  • Pharmaceutical & Medicinal Products: Represents a core high-value import at $2.6B CAD, making up 56.8% of its sector.
  • Logging, Construction, Mining & Oil/Gas Field Machinery: Totals $1.2B CAD in heavy industrial equipment, accounting for 18.5% of its overall sector.
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© CGCIC

German Direct Investment into Canada 

Germany accounts for about 2.5% of the total foreign direct investment in Canada, ranking fourth worldwide. German-owned companies are concentrated in manufacturing and transportation equipment, machinery, pharmaceuticals, and logistics.

FDI in Canada by ultimate investor country, 2025, billions of dollars/ euros

o   United States ($816.8/ €503.5)

o   China ($43.4/ €26.8)

o   France ($41.9/ €25.8)

o   Germany ($40.5/ €25)

o   Ireland ($28.4/ €17.5)

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The graphs shows the amount of German foreign direct investment in Canada from 2021 to 2025, in billions of Canadian dollars.
© CGCIC

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