Capacity utilization gains are particularly strong in the fabricated metal products industry, posting both strong monthly and year-over-year gains. PHOTO courtesy Universal Robots.
In one more positive sign for the Canadian manufacturing, and metal manufacturing in particular, the nation’s producers increased the use of their factories in November, according to the latest Statistics Canada report.
Overall, the capacity utilization rate (not seasonally adjusted) for the Canadian manufacturing sector increased from 77.9% in October to 78.6% in November. The capacity utilization rate is also up 0.7% from the same time the previous year.
Fabricated metal product manufacturers posted one of the strongest gains for the month, increasing their capacity utilization by 2.2% compared to the previous month and 3.4% compared to the same time the previous year.
Primary metal manufacturing meanwhile was up 3% compared to the previous month. Capacity utilization has increased for two straight months for companies smelting and/or refining ferrous and nonferrous metals. In addition, several industries which are important customers for Canadian metal manufacturers also posted capacity utilization gains in November. Capacity utilization was up significantly in the transportation equipment, rising by 8.5% compared to the previous month and 12.4% year-over-year. Furniture and related product industry capacity utilization was up 0.9%. Durable goods industry capacity utilization was up 3% compared to the previous month and and 2.9% year-over-year.