Manufacturing sales in Canada experienced a 1.4% increase in July, reaching $71 billion, driven by significant gains in the petroleum, coal, and chemical product sectors. This rebound follows a 1.7% decline in June, reflecting the volatility in certain industries.
The petroleum and coal product subsector led the charge with a 6.7% increase, totaling $8.6 billion. This growth was primarily fueled by higher prices and an uptick in demand, allowing most refineries to boost their sales. Similarly, the chemical product subsector saw a 5.3% rise to $5.6 billion, spurred by stronger sales of pharmaceutical and medical products.
Despite these gains, not all sectors thrived. The wood product subsector faced a significant decline, with sales falling 4.8% to $2.9 billion, the lowest level recorded since May 2023. This drop reflects challenges in the industry, such as decreased demand or supply chain disruptions.
In constant dollar terms, which account for inflation, overall manufacturing sales in July grew by 0.9%, indicating steady progress in real terms. These figures point to a mixed performance across various sectors but demonstrate an overall recovery in Canadian manufacturing.
