Forgot your account information?  |  Create a CME account

Manufacturing picture brightens in April

Published by Steve Coleman on May 01, 2012

While it's not the economy pre-2008, RBC says conditions were the best in April that they've been all year for Canadian manufacturers.

The month's numbers from the RBC Canadian Manufacturing Purchasing Managers Index say there was a marked improvement between March and April for industry.

Index numbers used as a snapshot of manufacturing health rose to 53.3 in April, up from 52.4 in March. Anything more than 50 indicates growth. Anything less indicates a contraction in the economy.

Managers surveyed during the month said both output and new orders were up in April. Greater client demand was the usual answer. While production was up, job creation was at its lowest point in three months. Inflation was also at its highest point since August.

"Favourable manufacturing conditions have been a prevailing force in Canada so far this year thanks, in part, to strong output and new export order growth in particular which accelerated in April at the fastest pace in a year," said Craig Wright, senior vice-president and chief economist, RBC in a news release. "As the economy south of the border strengthens, we expect the Canadian manufacturing sector will continue to reap the benefits of increasing U.S. demand for key Canadian exports such as autos, machinery and lumber."

Found in: news

National Office

Alberta British Columbia
Manitoba New Brunswick
Newfoundland & Labrador Nova Scotia
Ontario Québec
Prince Edward Island Saskatchewan