According to Statistics Canada, investment in building construction plunged 45.9 percent to $8.4 billion in April compared with the previous month. Previously, the largest national decline on record for the current series (which dates back to 2010) was a 3.9 percent decrease in August 2017.
Both the residential (-49.2 percent) and non-residential (-38.8 percent) sectors reported record declines. Investment decreased in all provinces and territories, with Ontario (-$3.2 billion) and Quebec (-$2.5 billion) reporting the largest declines.
Public health measures put in place to slow the spread of COVID-19 severely impacted the construction industry in April as the largest provinces in the country shut down all non-essential construction sites.
Investment in the non-residential sector plummeted 38.8 percent to $3.0 billion in April compared with the previous month. During this time, non-residential construction was largely shut down in Ontario and Quebec, while other provinces and territories allowed work to continue with strict public health measures in place. As a result, five provinces—including Manitoba (+1.6 percent), Saskatchewan (+1.3 percent) and British Columbia (+0.9 percent)—posted modest gains for the sector. British Columbia's increase in April followed five consecutive monthly declines.
The commercial component posted the largest decline (-49.4 percent), with notable decreases in Ontario (-$905.3 million) and Quebec (-$522.8 million). Saskatchewan, Nova Scotia and British Columbia were the only provinces to post gains for this component.
The institutional component tumbled 22.2 percent (-$247.5 million), with the largest decline in Quebec (-$193.4 million). Conversely, modest gains were reported in British Columbia (+$3.8 million).
The industrial component decreased 25.3 percent to $664.4 million. Quebec (-92.8 percent) and Ontario (-18.7 percent) contributed the most to the decline, while four provinces reported small gains.