UPDATE 1-Canada Feb trade surplus vanishes as exports drop

* Surplus drops to C$33 million

* Fall in exports outstrips drop in imports

* Automotive and energy lead the import and export falls
( Adds details from the report)

OTTAWA, April 12 (Reuters) – Canada’s trade surplus
declined to a negligible C$33 million ($34 million) in February
from C$382 million as a decline in exports outstripped a fall
in imports, Statistics Canada said on Tuesday.

Surging exports in the fourth quarter of 2010 had been a
major factor in strong growth for the quarter and in a
narrowing of the current account deficit. But in February,
exports fell 4.9 percent (even more in volume terms, 5.2
percent) to C$35.9 billion, primarily as the result of lower
energy and automotive sales.

A Statscan analyst said one factor in lower auto exports
was that it was coming off an increase in January that was due
to the introduction of a new car model.

Imports fell by 4.0 percent (4.3 percent in volume) to
C$35.8 billion, also on lower automotive and energy products.

The median forecast of analysts surveyed by Reuters was for
the surplus to rise to C$500 million from an originally
reported C$116 million for January.

($1=$0.96 Canadian)
(Reporting by Randall Palmer; Editing by Theodore d’Afflisio)

UPDATE 1-Canada Feb trade surplus vanishes as exports drop