Inventories of fabricated metal products (-3.2%) marked the largest decrease for Canadian manufacturing inventories in April, an indication of improving sales. PHOTO: Unisig
Total manufacturing inventories edged down 0.2% to $120.8 billion in April, the lowest level since November 2022, Statistics Canada reports.
Higher inventories of raw materials (+0.8%) were more than offset by lower goods-in-process (-1.2%) and finished products (-0.7%). Inventories of fabricated metal products (-3.2%) marked the largest decrease, while inventories of transportation equipment (+1.3%) increased the most. Total inventories were down 2.7% year over year in April 2024.
The inventory-to-sales ratio declined from 1.73 in March to 1.71 in April. This ratio measures the time, in months, that would be required to exhaust inventories if sales were to remain at their current level.
Unfilled orders edged up 0.2% to $105.0 billion in April, following a 1.1% decline in March. Higher unfilled orders of aerospace products and parts (+1.8%) contributed the most to the gain. Unfilled orders of several major aerospace manufacturers have risen year over year with higher demand contributing to a backlog in orders.
