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Economy posted record 11.6% plunge in April: Statistics Canada

Manufacturing was down 22.5% with many factories either shuttered or operating at greatly reduced capacity.

June 30, 2020   by CP STAFF

OTTAWA — Statistics Canada says the economy saw its largest monthly drop on record in April as it came to a near standstill due to the pandemic, but early indications point to a rebound in May as businesses began to reopen.

The agency says gross domestic product fell 11.6% in April with non-essential businesses shut for the full month following a 7.5% decline in March.

However, Statistics Canada says its initial flash estimate for May points to growth of 3%, which will be revised and finalized at the end of July.

Economists on average expect a drop of 13% for April, according to financial markets data firm Refinitiv.

Manufacturing was down 22.5% in April as many factories either shuttered or greatly reduced capacity in line with public health measures to slow the spread of COVID-19.

The output of the accommodation and food services sector dropped 42.4% in April, as customers replaced eating out with staying in, hitting a sector that saw a 37.1% decline in March.

 


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1 Comment » for Economy posted record 11.6% plunge in April: Statistics Canada
  1. Allen says:

    Is manufacturing over in Canada? At one time Canada ranked its automotive and aerospace manufacturers among the top 5-10 in the world. We are not even close to being in the top 50 now. I don’t believe the outdated data Stats Canada provides. We have lost the best and most significant manufactures in key market segments. These were our middle-class jobs. Our government has also made a futile attempt to attract new manufacturers. With many major plants sitting idle.

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