Statistics Canada says the country posted a merchandise trade deficit of $1.1 billion in August as lower oil prices weighed on exports.
The agency says the result compared with a revised deficit of $287 million in July. The initial reading for July released last month pointed to a surplus of $684 million for the month.
The result came as total exports fell one percent in to $64.3 billion in August.
Exports of energy products fell three percent, as shipments of crude oil fell 4.1 percent, mainly due to lower prices.
Total imports edged up 0.3 percent in August to $65.4 billion as imports of motor vehicles and parts rose 2.4 percent.
In volume terms, total exports edged up 0.1 percent in August, while imports increased 0.4 percent.