Canada’s manufacturing sales fell to $51.5 billion in November: StatsCan

Manufacturing sales fell 1.4 per cent in November 2014 to $51.5 billion – the third drop in four months, according to new figures from Statistics Canada.

The drop for the month was due to lower sales of motor vehicles, chemicals, primary metals and food.

Motor vehicles sales fell 5.9 per cent in November to $4.6 billion, StatsCan said, offsetting almost all of their gains of the previous two months. Chemical manufacturers saw sales drop 3.6 per cent, while the primary metal industry reported sales down 3.0 per cent; the food manufacturing industry dropped 1.3 per cent.

Overall, manufacturers in 16 of 21 industries – representing more than 80 per cent of total Canadian manufacturing – reported lower sales in November, StatsCan said.

Also, unfilled machinery orders edged up 0.2% in November to $91.1 billion, the fourth increase in five months – and their highest level since July 2013, the agency added.

“Sales in Ontario fell 2.1% to $23.7 billion as 18 of 21 manufacturing industries, representing nearly 90% of the province’s manufacturing sector, posted lower sales,” StatsCan said. “Sales of motor vehicles and chemicals were down 5.9% and 6.1% respectively. Ontario manufacturing sales in the first 11 months of 2014 were 5.8% higher than in the first 11 months of 2013.”

In Quebec, StatsCan said, manufacturers reported a 2.2% sales decrease in November, also the third decline in four months. “The largest decreases in sales occurred in the petroleum and coal product and primary metals industries,” the agency said. “Despite the decline, monthly sales of manufactured goods in Quebec have been over $12 billion in each of the past six months, a level that has not been sustained since the six-month period immediately preceding the 2008-2009 recession.”

Sales in Alberta declined 3.8%, reflecting lower sales of petroleum and coal products. Sales in the province were at their lowest level since January 2014. “The decline was largely due to a drop in prices in the petroleum and coal product industry,” StatsCan said.

Partially offsetting the declines was a 16.6% increase in sales in New Brunswick, StatsCan said, which reflected gains in non-durable goods.