Manufacturing sales rose for a third consecutive month in December, rising 0.7% to $64.0 billion on higher sales in 11 of 21 industries, including the motor vehicle and fabricated metal industries, Statistics Canada reports.
Sales in constant dollars increased 0.6% in December, indicating a higher volume of goods sold. The Industrial Product Price Index increased 0.7% month over month in December.
For the third consecutive month, motor vehicle and motor vehicle and part manufacturers in Canada were able to ramp up production as sales increased 8.2% in the motor vehicle and 1.6% in the motor vehicle part industries. Moreover, sales of motor vehicles recovered 21.0% overall in the fourth quarter, following a 10.1% increase in the third quarter.
Fabricated metal product sales rose 5.1% while sales for machinery grew 2.3% for the month.
Production in the aerospace product and parts industry fell 10.7% in December, following a 9.7% increase in November.
Ontario posts the largest sales increase
Manufacturing sales increased in seven provinces in December, led by Ontario and Alberta. Meanwhile, Quebec posted the largest decline.
In Ontario, sales increased 1.1% to $27.9 billion in December, led by the motor vehicle (+9.1%), plastic and rubber (+14.0%), and fabricated metal (+8.7%) industries.
Sales in Alberta increased 1.8% to $7.7 billion in December, mainly on higher sales of petroleum (+11.1%). Total sales in Alberta rose 5.2% in the fourth quarter.
Sales in Quebec decreased 1.2% to $16.4 billion in December, mostly due to lower production of aerospace product and parts (-14.3%).