Canada Private Activity Contracts for 2nd Month

2026-01-06 14:35 By Felipe Alarcon 1 min. read

The S&P Global Canada Composite PMI recorded 46.7 in December 2025, up from 44.9 in November but remaining below the 50.0 no-change mark for a second straight month.

Manufacturing edged up to 48.6 in December from 48.4 in November while services rose to 46.5 from 44.3, with the latter still the main driver of the downturn.

New business volumes declined for the thirteenth consecutive month and continued to weigh on output.

Backlogs of work decreased but to a much lesser degree than in recent months as firms operated with spare capacity.

Employment was cut for a fourth successive month, with the rate of job losses slightly weaker than in November as firms pared staff.

Business confidence improved but remained well below trend.

On the price front input cost inflation remained elevated and little changed since November while output charge inflation rose solidly but at a pace that stayed below trend.



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Canada Private Activity Contracts for 2nd Month
The S&P Global Canada Composite PMI recorded 46.7 in December 2025, up from 44.9 in November but remaining below the 50.0 no-change mark for a second straight month. Manufacturing edged up to 48.6 in December from 48.4 in November while services rose to 46.5 from 44.3, with the latter still the main driver of the downturn. New business volumes declined for the thirteenth consecutive month and continued to weigh on output. Backlogs of work decreased but to a much lesser degree than in recent months as firms operated with spare capacity. Employment was cut for a fourth successive month, with the rate of job losses slightly weaker than in November as firms pared staff. Business confidence improved but remained well below trend. On the price front input cost inflation remained elevated and little changed since November while output charge inflation rose solidly but at a pace that stayed below trend.
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