Statistics Canada reported Thursday manufacturing sales in the country fell to $48.9 billion in June, a decrease of 0.4 percent. The decline was led by a 10.6 percent drop in sales of petroleum and coal products--excluding petroleum and coal products, sales increased 1.1 percent in June. Increased sales of machinery and transportation equipment were partially offset by the drop in petroleum and coal product sales. Manufacturing sales have declined in four of the past six months. Sales of non-durable goods fell 2.7 percent while durable goods sales increased 1.6 percent.
Motor vehicle sales rose 0.7 percent in June, the 11th increase in 12 months. Car sales were also up 40.2 percent in June compared to June 2011. Machinery manufacturers reported a 5.2 percent increase in sales, following two months of declines. The gain reflected higher sales in commercial and service industry machinery manufacturing.
Inventories fell 1.7 percent in June to $64.8 billion, the first decrease in three months. Lower inventory levels of petroleum and coal products as well as aerospace product and parts were responsible for the overall decline.