According to Statistics Canada, real gross domestic product (GDP) grew 0.3 percent in June, rising for the eighth month in a row as 14 of 20 industrial sectors grew. Goods-producing industries rose 0.5 percent while service producing industries edged up 0.2 percent.
The construction sector (+2.0 percent) was the main contributor to the increase in June, posting its largest gain since July 2013. Every component of the construction sector increased in June. Residential construction was up 2.7 percent in June, its largest increase since May 2014. There was higher output related to the construction of single, double, row and apartment housing along with increased activity related to home alterations and improvements. Non-residential construction grew 2.9 percent in June, and repair construction was up 1.7 percent while engineering and other construction grew 1.1 percent.
The transportation and warehousing sector (+0.6 percent) expanded in June, up for the fourth month in a row, as the majority of subsectors grew. Rail transportation increased 3.9 percent on higher shipments of coal, grain and fertilizer, metal and minerals and intermodal freight. Partly offsetting these gains was a 2.5 percent decline in pipeline transportation, mainly natural gas.
Manufacturing edged up 0.2 percent in June. Durable manufacturing was up 0.9 percent as 6 of 10 subsectors grew, led by machinery (+3.9 percent), furniture and related products (+3.7 percent) and primary metal (+2.0 percent). Non-durable manufacturing continued its sequence of alternating increases and declines since the beginning of 2017 with a decline of 0.7 percent.
Mining and quarrying edged down 0.2 percent in June following three months of increases. Oil and gas extraction contracted 0.4 percent, as a 2.0 percent decline in non-conventional oil extraction more than offset a 0.9 percent gain in conventional oil and gas extraction. Mining and quarrying (except oil and gas) increased 1.2 percent. The 8.5 percent growth in non-metallic mineral mining came mainly from higher output from potash mines. Metal ore mining was down 2.7 percent as a result of lower output at copper, nickel, lead and zinc mines and iron ore mines as exports declined. Coal mining (-1.7 percent) declined for a second consecutive month following increases in March and April to meet a spike in foreign demand.