Manufactured Sales in Canada Fell -1.5% in July with Wood Products Leading the Decline

Statistics Canada (StatCan) reported today (9-14-21) that manufacturing sales fell -1.5% in July to $59.6 billion (C$), following a 3.6% increase in June. Sales were down in 12 of 21 industries, led by the wood products’ decline of -21.8% and aerospace products and parts falling -19.0%. However, on a year-over-year basis, manufactured sales were up 12.2% in July. Sales in constant dollars declined -1.7% to $48.9 billion in July, indicating a lower volume of goods sold.

The Industrial Product Price Index decreased -0.4% in July, while the Raw Materials Price Index rose 2.2%. Looking at wood products specifically, following a 5.8% decline in June, sales of wood products fell -21.8% to $4.0 billion in July, driven by a lower volume of sales and prices. Sales in constant dollars declined -3.9% in July, while the price of lumber and other wood products dropped -23.0%.

Exports of forestry products and building and packaging materials fell -12.7% in July.

In British Columbia, wood sales in July were down -24.1% month-over-month. In Quebec, the wood products industry posted its second month-over-month decline, down -25.5% to $941.2 million — the lowest level since October of 2020. Nonetheless, despite the recent declines, wood product sales were up 46.0% year over year in July.