Canada Survey of Manufacturing: March 2018


Manufacturing sales rose 1.4% to $57.1 billion in March, said Statistics Canada Thursday. Higher sales at primary metal; aerospace product and parts; fabricated metal product; and the other transportation equipment industries were mostly responsible for the increase.
Overall, sales were up in 13 of 21 industries, representing 72% of the Canadian manufacturing sector, while in volume terms, manufacturing sales rose 0.6%

Primary metal sales rose 4.2% to $4.4 billion in March following a 4.4% increase in February, and in the aerospace industry, production rose 10.6% in March following a 4.0% gain in February.

Sales were also up in the fabricated metal product (+4.6%), other transportation equipment (+37.4%) and wood product (+3.7%) industries.
These increases were partially offset by declines in the motor vehicle (-2.0%), machinery (-1.7%) and computer and electronic product (-3.4%) industries.

Survey of Manufacturing, Canada

Inventory levels increased 0.7% to $79.3 billion in March, according to Statistics Canada Thursday. This was the sixth consecutive increase in inventories, with 6 of 21 industries posting higher levels. The gains were attributable to the transportation equipment (+3.5%), chemical (+5.9%) and plastic and rubber products (+5.3%) industries.

The inventory-to-sales ratio declined from 1.40 in February to 1.39 in March. The inventory-to-sales ratio measures the time, in months, that would be required to exhaust inventories if sales were to continue at their current pace.
Sales were up in seven provinces in March, with Quebec and British Columbia responsible for most of the total national gain.

In Quebec, sales rose 2.9% to $13.8 billion in March, mainly due to a 21.3% increase in the aerospace product and parts industry. Sales also rose in the primary metal; machinery; and fabricated metal product industries.

Sales in British Columbia increased 4.0% to $4.6 billion in March, following four consecutive monthly declines. The increase was largely attributable to higher sales in the wood product industry.

In Saskatchewan, sales rose 5.6% to $1.5 billion. Higher sales in the food industry (+27.7%) were responsible for the gain. Greater availability of rail cars in March allowed more food products to be processed and shipped, leading to higher sales compared with February. Excluding the food industry, sales in the province declined 1.4%.
Sales were down in Manitoba, Nova Scotia and Prince Edward Island due to lower sales of durable goods.