MRO Magazine

Manufacturing sales edge upward again in June

Ottawa, ON -- According to Statistics Canada, manufacturing sales edged up 0.1% to $44.8 billion in June 2010....


August 20, 2010
By MRO Magazine


Ottawa, ON — According to Statistics Canada, manufacturing sales edged up 0.1% to $44.8 billion in June 2010. Sales have advanced in 11 of the past 13 months since the low reached in May 2009.

Constant dollar manufacturing sales rose 0.7% to $41.7 billion in June. Constant dollar sales were 15.3% higher than in May 2009.

Sales gains were reported in nine of 21 industries, representing 50.1% of total sales.

Although nine industries reported increased sales in June, these were largely offset by declines in the remaining 12 industries.


Sales rose 4.8% in the paper industry. The increase mostly reflected higher sales volumes. Following the low reached in May 2009, sales have increased in 11 of the past 13 months.

Other industries reporting gains in June included furniture (+6.4%), fabricated metal products (+2.0%) and chemical manufacturing (+1.2%).

Sales declined 2.1% in the food industry and 1.5% in the petroleum and coal products industry.

In Manitoba, a 4.8% sales gain reflected a rise in the province’s durable goods industries.

Sales in British Columbia advanced 2.1% in June as a result of increases in several industries. Sales in the province have risen in five of the past six months.

In Quebec, sales declined 0.2%, despite a 14.7% increase in the chemical manufacturing industry. Lower sales in food, petroleum and coal products and the primary metals industries contributed to the provincial decrease.

Ontario (-0.2%) also posted lower sales in June, with computer and electronic products, plastics and rubber products and the chemical manufacturing industries contributing to the decline.

Sales were also down in Saskatchewan (-1.4%) and Alberta (-0.3%).

Sales remained unchanged for the Atlantic provinces in June. Sales increases in Prince Edward Island (+7.1%) and New Brunswick (+0.2%) were offset by a sales declines in Newfoundland and Labrador (-1.6%) and Nova Scotia (-0.5%).


Inventory levels rose 0.7% to $58.8 billion in June. This was the first increase since February, primarily reflecting a rise in the value of inventories held in the petroleum and coal products (+4.1%), chemical manufacturing (+2.4%) and wood products (+3.2%) industries. The increase in the value of petroleum and coal products inventories was fuelled by higher volumes held at several refineries.

Declines in the food industry (-1.4%) and the paper industry (-2.4%) partially offset the gains.

The inventory-to-sales ratio edged up to 1.31 in June. The value of the ratio has been relatively stable since March, after falling from its most recent peak of 1.63 in May 2009.
The inventory-to-sales ratio edges upwards


Unfilled orders increased 1.3% to $54.1 billion in June. Transportation equipment, machinery and fabricated metal product industries accounted for most of the advance. Since its most recent low of $51.3 billion in November 2009, unfilled orders have advanced 5.5%.

New orders fell 0.3% to $45.5 billion in June, the first decrease since March 2010.

Data from the July Monthly Survey of Manufacturing will be released on Sept. 15, 2010.