Canada’s manufacturing sales climb more than anticipated in May

Statistics Canada released its Monthly Survey of Manufacturing on Wednesday, which showed that the Canadian manufacturing sales surged 10.7 percent m-o-m in May to CAD40.19 billion, following a revised 27.9 percent m-o-m plunge in April (originally a 28.5 percent m-o-m drop. the largest on record), as many manufacturers resumed operations following full or partial shutdowns related to COVID-19 during the previous month. This was the largest increase in manufacturing sales on record.

Economists had forecast a 9.5 percent m-o-m climb for May.

According to the survey, sales increased in 18 of 21 industries, led by transport equipment (+81.7 percent m-o-m) and petroleum and coal products (+18.6 percent m-o-m) industries.

Overall, sales of durable goods industries surged 18.9 percent m-o-m in May, while sales of non-durable goods industries rose 4.4 percent m-o-m.