The Toronto skyline in Canada

Canada PMI April 2021

Canada: Manufacturing PMI eases in April, but remains upbeat nonetheless

In April, the IHS Markit Manufacturing Purchasing Managers’ Index (PMI) fell to 57.2 from 58.5 in March. Nevertheless, the index remained well above the neutral 50-threshold, signaling an improvement in manufacturing operating conditions from the previous month.

In April, the PMI suggested momentum in manufacturing sector activity eased from the previous month due to slightly weaker expansions in new orders and output amid elevated Covid-19 cases and some tightening of restrictions. That being said, both new orders and output rose robustly relative to the previous month. Meanwhile, job creation remained strong despite easing slightly from the previous month’s pace. On the price front, input prices rose notably on the back of higher raw material prices and supply shortages, while output price inflation reached a survey record high.

Commenting on April’s reading, Shreeya Patel, an economist at IHS Markit, noted:

“Although data highlighted a positive overall demand picture, it continued to reveal strong concerns over future supply. Anecdotal evidence continued to link COVID-19 to severe delivery delays and the limited availability of raw materials. As a result, firms rushed to add to their pre-production stock levels, often paying highly inflated prices for inputs.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest