Canada Factory Sales Growth Revised Slightly Down

Canada’s manufacturing sales rose 3% to C$73.6 billion in March 2026, the highest since January 2025, after a downwardly revised 3.4% gain in February and below preliminary estimates of 3.5%. Sales increased in 9 of 21 subsectors, led by petroleum and coal products (+22.7%) and transportation equipment (+6.0%). Excluding petroleum and coal products, sales rose 0.7%. Manufacturing sales rose in eight provinces in March, with Ontario (+2.2%) and Alberta (+4.4%) posting the largest increases. On a quarterly basis, manufacturing sales edged up 0.1% to $214.1 billion in Q1 2026, the third consecutive quarterly increase, with petroleum and coal products (+4.9%) and primary metals (+4.3%) contributing the most.

Canada’s manufacturing sales are forecast to rise 3.5% in March 2026, following a 3.6% increase in the prior month, according to preliminary estimates. The largest gains are expected in the petroleum and coal product subsector and the transportation equipment subsector.

Canada's manufacturing sales rose 3.6% to C$71.2 billion in February 2026, rebounding from a 3% decline in January and slightly below preliminary estimates of 3.8%. Transportation equipment led the rebound, surging 18.8% to C$10.6 billion after an 18.4% plunge in January, with all industry groups posting gains and motor vehicles and parts showing the strongest performance. Machinery sales jumped 7.7% to C$4.6 billion on higher prices and volumes following January's 6.3% drop, while primary metals reached a record high at C$6.5 billion, up 4.9%. Meanwhile, chemical products declined 3.2% to C$5.0 billion, the lowest since July 2025, driven by weakness in basic chemicals and pharmaceuticals. Sales rose in six provinces, led by Ontario and Quebec, while Alberta posted the largest decline.