What was the December performance of Canadian manufacturing sales?

Canadian manufacturing sales increased by 0.6% in December, reaching C$71.0 billion.

What drove the increase in Canadian manufacturing sales in December?

The increase was primarily driven by a 12% jump in motor vehicle sales and contributions from food product sales.

What was the Bank of Canada's decision on interest rates in January?

The Bank of Canada voted to keep its benchmark interest rate unchanged at 2.25% on January 28th.

Home / Business and Economy / Canadian Manufacturing Rebounds in December

Canadian Manufacturing Rebounds in December

18 Feb

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Summary

Canadian manufacturing sales increased 0.6% to C$71.0 billion in December.
Motor vehicle sales jumped 12%, aided by a plant reopening.
Bank of Canada kept interest rates unchanged at 2.25%.

Canadian Manufacturing Rebounds in December

Canadian factory shipments experienced a positive uptick in December, growing by 0.6% to reach C$71.0 billion. This recovery followed a decline in November and was largely propelled by a robust 12% surge in motor vehicle sales.

The automotive sector's performance was significantly influenced by the full reopening of a major assembly plant in Ontario, which had been operating at reduced capacity due to semiconductor chip shortages. Food product sales also played a role in bolstering the overall manufacturing figures for the month.

Economic conditions remain under scrutiny, with the Bank of Canada announcing on January 28th that it would hold its benchmark interest rate steady at 2.25%. Officials indicated that future rate decisions are contingent on the economy aligning with the central bank's projections and managing uncertainties.