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Canadian Manufacturing Production

Manufacturing Sector

  • Peel’s manufacturing sector represents an important (though diminishing) part of the Canadian manufacturing sector, and therefore, in the absence of Peel specific quarterly data on output, changes in the output of the Canadian and Ontario manufacturing sectors offer some indication of possible changes in Peel.
  • The indicators tracked/monitored are total Canadian Gross Domestic Product (GDP) and total sales/shipment of Canadian and Ontario manufactured goods.
  • Changes in these indicators are tracked to provide a broad understanding of changes in the sector; changes which are likely to provide a fair indication of changes at the Peel level.

Canadian Manufacturing Gross Domestic Product (GDP)

  • Following a fluctuating 9-month run, manufacturing GDP changes in October and November maintained positive changes during the months of October and November 2017.
  • The monthly changes recorded during the two-month period were as follows:
    • October: 0.2 per cent; and
    • November: 1.8 per cent.
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Data Source – STATSCAN
  • The 1.8 per cent increase in manufacturing GDP in November was the largest monthly increase recorded since February 2014, and was the result of growth in both non-durable (1.1 per cent) and durable (2.5 per cent) manufacturing GDP.
  • The strong increase in durable manufacturing was the largest monthly increase since December 2011.
  • This reflected a relatively strong 6.5 per cent increase in the GDP of the transportation equipment sub-sector, where production rebounded in November, after shutdowns (and capacity limitations) in September and October.

Canadian Manufacturing Sales/Shipment

  • During the 11-month period January – November 2017, the value of the total manufacturing shipments (adjusted seasonally) was approximately $593 billion, up 6.1 per cent relative to the similar 11 months in 2016.
  • This growth reflected higher shipment of durable and non-durable goods:
    • Durable goods: Total shipment for the period January and November 2017 was $313.3 billion an increase of 4.0 per cent relative to the same 11 months in 2016; and
    • Non-durable goods: Total shipment increased, advancing 8.6 per cent between January – November 2016 to January – November 2017 to $279.9 billion.
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Data source – STATSCAN

  • Throughout the year, the monthly changes in total manufacturing shipments varied with declines in four of the 11 months to November.
  • However, declines were followed by relatively strong monthly increases, resulted in the increase observed for the 11-month period January – November 2017.
  • In Ontario, the total manufacturing shipments from January-November 2017 was approximately $276.9 billion, an increase of 1.8 per cent from the same 11 months of 2016.
  • Growth in total manufacturing shipment was driven solely by the increase in non-durable goods.
  • Compared with the January – November period in 2016, shipments of non-durable manufactured goods increased 6.3 per cent to $103.8 million in January – November 2017.
  • Over the same period, total durable manufacturing shipments from Ontario declined by 0.8 per cent to $173.1 billion.
  • The change in manufacturing shipments from Ontario have also showed monthly variations throughout 2017.
  • During the 11 month period, there were seven monthly increases which outweighed the four monthly declines to result in the overall increase for the 11 month period.
  • The variability was evident in both durable and non-durable manufacturing shipments.
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Data source – STATSCAN