According to Statistics Canada, manufacturing sales rose 3.4 percent to a record high $55.5 billion in November, mainly due to higher sales in the transportation equipment, petroleum and coal product and chemical industries.
Overall, 12 of 21 industries, representing 81 percent of the manufacturing sector, posted increases in November.
Sales of transportation equipment increased 9.1 percent to $10.6 billion in November, following two consecutive monthly decreases. Most of the increase in November was attributable to higher sales in the motor vehicle assembly (+14.2 percent) and motor vehicle parts (+11.3 percent) industries, reflecting increased production after motor vehicle assembly plant shutdowns in October.
In the petroleum and coal product industry, sales rose for the fifth straight month, up 6.1 percent to $6.0 billion in November, primarily due to higher prices. Sales also increased in the fabricated metal product (+3.0 percent) industries.
Inventory levels rose for the second consecutive month, up 0.9 percent to $75.4 billion in November. Inventories were up in 12 of 21 industries, led by the transportation equipment (+1.6 percent) and petroleum and coal product (+4.4 percent) industries.
The inventory-to-sales ratio fell from 1.39 in October to 1.36 in November, because the increase in sales was much larger than the increase of the inventories. The inventory-to-sales ratio measures the time, in months, that would be required to exhaust inventories if sales were to remain at their current level.
Unfilled orders declined 0.9 percent to $86.4 billion in November. The decrease was mainly attributable to lower unfilled orders in the aerospace product and parts industry, as well as the fabricated metal product industry.
New orders fell 1.8 percent to $54.7 billion in November, following a 5.2 percent gain the previous month. The decrease mostly reflected lower new orders in the aerospace product and parts industry. The decline in November was partially offset by higher new orders in the motor vehicle and petroleum and coal product industries.