Canadian Manufacturing

Manufacturing sales fell 2.1% in April as chip shortage hurt auto industry

Manufacturing sales excluding the transportation equipment industry rose 1.5 per cent in April.

June 14, 2021  The Canadian Press

Statistics Canada says manufacturing sales fell 2.1 per cent to $57.1 billion in April as the auto industry was hurt by a continued shortage of semiconductor chips that prompted companies to halt or slow production.

The agency says transportation equipment sales fell 23.6 per cent to $6.4 billion as motor vehicle sales fell 36.5 per cent to $2.3 billion in April, the largest month-over-month decrease since April 2020.

Sales in the motor vehicle parts industry fell 19.0 per cent to $1.9 billion.

However, manufacturing sales excluding the transportation equipment industry rose 1.5 per cent in April.

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Machinery sales rose 14.6 per cent to a record $3.7 billion in April, while wood product sales also rose 6.5 per cent to a record $4.9 billion for the month.

Statistics Canada says sales in constant dollars fell 3.3 per cent in April, indicating a lower volume of goods sold.