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Or sign-in if you have an account.Employees work on the floor at the Magna International Inc. Polycon Industries auto parts manufacturing facility in Guelph, Ont. Photo by Cole Burston/Bloomberg filesManufacturing sales in Canada climbed in the second quarter of 2026 for the fourth quarter in a row, another sign that the Canadian economy rebounded after a sluggish start to the year.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountorThe data, published on Friday, showed manufacturing sales rose by 9.3 per cent to $235.1 billion in the second quarter of 2026, the highest level on record.Petroleum and coal products — which rose by 33.7 per cent during — led the gains, followed by transportation equipment sales, which rose by 14.7 per cent. Miscellaneous manufacturing sector sales declined the most (14.9 per cent) in the second quarter.If sales of petroleum and coal products were excluded, sales rose by 6.1 per cent.SUBSCRIBER EXCLUSIVE: FP West: Energy Insider brings you behind the oilpatch’s closed doors with exclusive insights from insiders every Wednesday morning.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of FP West: Energy Insider will soon be in your inbox.We encountered an issue signing you up. Please try againOn a monthly basis, sales edged by 0.1 per cent to $78.8 billion in June, the fifth consecutive month of gains, led by gains in the chemical and transportation equipment sectors.Gains were also broad based, with 15 out of 20 subsectors rising in June. Manufacturing sale volumes also rose by 4.2 per cent on a year-over-year basis in June.However, a sharp decline in petroleum and coal product sales offset June’s gains, the largest decline after three consecutive monthly increases.The report came after the Bank of Canada projected second-quarter economic growth of 2.5 per cent in its latest Monetary Policy report, a rebound after two consecutive quarters of negative growth. Economists also believe the Canadian economy grew in the second quarter.“Another broad-based rise in manufacturing sales in June poses upside risks to an already punchy second-quarter GDP estimate and, paired with recent strength in the labour market, leaves soft core inflation as the last bastion for our call that the Bank of Canada will delay rate hikes until 2027,” wrote Bradley Saunders, North American economist at Capital Economics, in a note on Friday morning.The manufacturing sales data come five days before U.S. President Donald Trump‘s new 50 per cent tariffs are set to take effect, a move he said was in response to “Canada’s discriminatory treatment of U.S. commerce.” The U.S. administration said the levies were retaliation against Canadian tariffs and quotas on dairy, automobiles and alcohol.Canada-U.S. Trade Minister Dominic LeBlanc and Chief Trade Negotiator Janice Charette were in Washington, D.C., this week meeting with U.S. Trade Representative Jamieson Greer, but no deal had been reached as of Friday afternoon.June manufacturing sales were strong in some sectors that were hit hardest by existing U.S. tariffs. Sales of motor vehicle parts rose by 6.2 per cent on a month-over-month basis in June, while sales of motor vehicles rose by 0.1 per cent. Sales of wood products also rose by 5.1 per cent.On a year-over-year basis, motor vehicle part sales rose by 12.8 per cent and motor vehicle sales rose by 20.9 per cent. Wood product sales, however, declined by 3.2 per cent.“Sales of motor vehicle parts and wood products also rose strongly, and will continue to do well if Ottawa successfully lobbies for some reduction in the Trump administration’s Section 232 tariffs, as media reports are suggesting,” Saunders wrote. Join the Conversation This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.