Manufacturing sales jump despite auto, aerospace declines

Wednesday January 20, 2010
Written by Manufacturing AUTOMATION
Manufacturing sales edged up slightly by 0.1 percent to $42.6 billion in November, as gains in several industries were offset by decreases in the transportation equipment industry, according to Statistics Canada's Monthly Survey of Manufacturing (see October, September, AugustJulyJuneMay and April 2009 results). This was the fifth increase in manufacturing sales in six months. Sales gains in chemical manufacturing and in petroleum and coal products were offset by declines in the aerospace product and parts and motor vehicle industries. This was the fifth increase in manufacturing sales in six months. Constant dollar manufacturing sales decreased 0.8 percent in November. This was the first decrease in constant dollar sales in three months. Even with the recent advances, constant dollar manufacturing sales were 8.4% below November 2008. Non-durable goods industries behind most of the sales gains Most of the sales gains for November were in non-durable goods industries, which increased 1.0 percent compared with October. Sales by chemical manufacturers advanced 5.3 percent compared with October. About one-third of the gain was a result of rising pharmaceutical and medicine manufacturing sales. Sales by the petroleum and coal product industry rose 2.9 percent in November, the third increase in four months. Sales in this industry were pushed up by higher prices, which increased 4.7 percent from October. The transportation equipment industry offset most of the sales gains in November, declining 4.3 percent. Production in the aerospace product and parts industry pulled back 15.4 percent after a 48.2-percent jump the previous month. Motor vehicle sales were also down, decreasing 4.5 percent after two months of gains. Provincial results were mixed Half of the provinces posted increased sales in November. The largest gain was in New Brunswick, where manufacturing sales advanced 15.2 percent in November. This was the second monthly increase after a 26.1-percent drop in September. Alberta continued to report stronger manufacturing sales in November, with rising sales in the past four months. These increases were largely attributable to petroleum and coal product sales, which reached the highest level for the province since October 2008. Sales in Quebec advanced 0.6 percent in November, despite a 10.6-percent drop in transportation equipment sales. Petroleum and coal products (+5.2%) and primary metals (+4.9%) led the provincial gains.

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