Canada’s manufacturing sales fell -2.8% MoM (vs -2.0% MoM in the 1st estimate) and -2.7% YoY in April to $69.6 billion, the sharpest monthly decline since October 2023 and the lowest level since January 2022.

• Sales fell across key subsectors: petroleum and coal products (-10.9% MoM), motor vehicles (-8.3% MoM), and primary metals (-4.4% MoM).
• In constant dollars, sales dropped -1.8% MoM; the Industrial Product Price Index declined -0.8% MoM.
• Inventories fell -1.0% MoM to $119.0 billion, led by petroleum, metals, and transportation sectors; the inventory-to-sales ratio rose from 1.68 to 1.71.
• Unfilled orders declined -1.1% MoM to $108.9 billion, driven by aerospace.
• Capacity utilization dropped from 80.1% to 77.7%, with the steepest declines in petroleum (-18.7 ppts) and transportation equipment (-2.6 ppts).