Doom and gloom? Manufacturers upbeat about production, says StatsCan

OTTAWA — So much for black cats crossing the path of the Canadian economy this Halloween.

Canadian manufacturers say they plan to increase production during the next three months, according to Statistics Canada’s lastest quarterly survey of business conditions.

Results are based on replies from about 5000 manufacturers

The strongest gains will come from automotive production, which has seen output return to normal levels after a series of strikes in the U.S. Otherwise, the expected increases were not widespread.

About 79% of manufacturers surveyed felt comfortable with current inventories of finished products, down from 84% in July. The agency said its August monthly survey indicated manufacturers were holding some $16.8 billion in finished products inventory, 4.2% higher than the inventory level posted at the end of 1997.

Manufacturers are less satisfied with level of unfilled orders. The number of manufacturers stating the current level of unfilled orders was about right was down seven points to 73%, with 10% stating unfilled orders are higher than normal and 17% stating lower than normal.

Some 73% of manufacturers said their workforce would change little in the coming three months. According to the agency’s Labour Force Survey, there were some 53,200 fewer people employed in manufacturing during September 1998.


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