- Prior was 48.3
- Both output and new orders contracted in September, and at quicker rates than in August
- The lack of overall new orders and cuts to production meant firms generally chose to not replace leavers at their plants. Some firms also reported enforced layoffs
Commenting on the latest survey results, Paul Smith, Economics Director at S&P Global Market Intelligence said:
“Latest data showed the continued underperformance of Canada’s manufacturing economy. Output, new orders and exports all continued to fall, with the uncertain trading environment also leading firms to make cuts to purchasing, inventories and employment.
“Once again tariffs and Canada’s trading relationship with the United States remained a dominant theme amongst survey participants, as firms noted the detrimental impacts on exports and confidence in general. Firms therefore understandably remain cautious, preferring instead to adopt a wait-and-see attitude rather than plan for and commit to new projects.
“One of the positives from the latest report is a dissipation of price pressures, with both input costs and selling prices rising at slower rates. This will provide reassurance to Bank of Canada policymakers that a reduction in underlying inflation pressures is underway and provide further justification for September’s cut in interest rates.”
It's tough to find any positive signs in this edition.
