Canada Manufacturing Sales Seen Up in December

Canada’s manufacturing sales rose by 0.6% month-on-month to C$71 billion in December 2025, following a revised 1.3% decline in November and slightly above the preliminary estimate of a 0.5% increase. Sales increased in 12 of the 21 manufacturing subsectors, with motor vehicles (+12) and food products (+2%) contributing the most. A 5.1% drop in petroleum and coal product sales partially offset these gains. On a quarterly basis, sales edged up 0.2% to $213.1 billion in the fourth quarter of 2025, marking the second consecutive quarterly increase. In 2025, total manufacturing sales decreased 0.4% to C$848.7 billion, extending a 1.7% decline in 2024, as weakness in petroleum and coal (-7.1%) and chemicals (-4.9%) offset gains in primary metals (+6.7%) and food (+1.8%).

Canada’s manufacturing sales likely rose 0.5% in December 2025, preliminary estimates indicate. The strongest gains were recorded in the food subsector and in the motor vehicle industry group.

Canada’s manufacturing sales fell 1.2% month-on-month to C$70.8 billion in November 2025, following a 1.0% drop in October and slightly below market expectations of a 1.1% decline. Fifteen of 21 subsectors posted losses, led by motor vehicles, which slid 15.9% to C$3.8 billion, the lowest level since October 2022, due to ongoing global semiconductor shortages. Motor vehicle parts sales dropped 6.3%, affected by supply chain disruptions. The machinery subsector declined 3.2% to C$4.4 billion, with the steepest falls in agricultural, construction, mining, and general-purpose machinery. In contrast, petroleum and coal product sales rose 6.8% to C$8.2 billion, supported by higher prices, stronger demand, and the end of a refinery maintenance shutdown. Manufacturing sales fell in eight provinces, led by Ontario (-2.0%) and British Columbia (-3.0%), with notable gains in aerospace production in Ontario (+9.2%). On a year-on-year basis, total manufacturing sales decreased 1.1% in November.