Statistics Canada says the country's merchandise trade deficit with the world rose to $1 billion in February from $746 million in January as exports decreased 0.6 per cent while imports increased marginally.

The federal agency says exports decreased to $38.5 billion, with lower shipments of metal and non-metallic mineral products contributing the most to the decline.

Imports rose 0.1 per cent to $39.5 billion as increases in seven of the 11 import sectors were mostly offset by a large decrease in energy products.

Exports to the United States fell 1.1 per cent to $28.4 billion in February, while imports were up 0.8 per cent to $25 billion, lowering the trade surplus with that country to $3.4 billion in February from $3.9 billion in January.

Exports to countries other than the United States increased 0.9 per cent to $10.1 billion, while imports declined 0.9 per cent to $14.5 billion, shrinking the trade deficit with the rest of the world to $4.4 billion from $4.6 billion the previous month.

Exports of basic and industrial chemical, plastic and rubber products fell, along with shipments of electronic and electrical equipment, while exports of motor vehicles and parts rose 5.6 per cent to $5.4 billion.