FX.co ★ Canada Manufacturing Sales Hit 3-Year Low in May

In May 2025, manufacturing sales in Canada decreased by 0.9%, settling at CAD 68.7 billion. This marks the lowest sales level since January 2022. However, this decline was less severe than the initially anticipated 1.3% reduction. The downturn was largely influenced by a significant drop in sales within the petroleum and coal products sector, which fell by 8.4%, and a 2.7% decline in the machinery sector. Excluding the impact of petroleum and coal products, overall manufacturing sales experienced a slight reduction of 0.1%. Notably, these decreases were somewhat balanced by a 6.9% rise in the production of aerospace products and parts. When comparing year-over-year data, total manufacturing sales decreased by 4.1% in May. Adjusted for constant dollars, sales dropped by 0.7%, marking the lowest point since October 2021. Simultaneously, the Industrial Product Price Index saw a decrease of 0.5%.