Statistics Canada says manufacturing sales down, wholesale sales up in August
The Canadian PressBusiness Operations Operations Manufacturing
OTTAWA (CP) – Manufacturing sales fell 2.0 per cent to $70.4 billion in August as petroleum and coal sales edged down on lower prices and volumes, Statistics Canada said Friday.
The agency said it was the fourth consecutive month manufacturing sales declined.
The decline came as petroleum and coal sales fell 3.9 per cent to $9.9 billion in August and chemical manufacturing industry sales decreased 4.5 per cent to $5.6 billion.
Overall Canadian manufacturing sales in constant dollars fell 1.7 per cent in August, indicating a lower volume of goods sold.
Paul Ashworth, chief North America economist at Capital Economics, said the weak global backdrop is a concern.
“The manufacturing survey evidence has deteriorated markedly over the past few months, as zero-COVID lockdowns have an ongoing dampening effect on Chinese demand and surging utility prices are ravaging European demand,” Ashworth wrote in a report.
“Closer to home, the weakness in U.S. housing construction and consumer discretionary goods demand will also weigh on Canadian manufacturing. In short, brace yourselves for more disappointment.”
In a separate report, Statistics Canada also said Friday wholesale sales in August rose 1.4 per cent to reach a new high of $81.3 billion.
The gains were led by the miscellaneous goods subsector which rose 3.9 per cent to $12.8 billion, helped by a 13.2 per cent gain to $5.2 billion by the agricultural supplies industry.
The machinery, equipment and supplies subsector gained 1.6 per cent at $17.4 billion as sales in the other machinery, equipment and supplies industry added 6.4 per cent at $4.0 billion and the construction, forestry, mining, and industrial machinery, equipment and supplies industry rose 4.0 per cent to $6.0 billion.
The food, beverage and tobacco subsector rose 1.8 per cent to $14.5 billion.
Wholesale sales in constant dollar terms rose 1.2 per cent in August.