Canada September manufacturing sales unexpectedly rise on coal, petroleum

A Bombardier q400 airplane is seen being assembled at the Bombardier aircraft manufacturing facility in Toronto, November 25, 2010. REUTERS/Mark Blinch/File Photo

OTTAWA (Reuters) - Canadian manufacturing sales unexpectedly rose in September, boosted by sales of petroleum and coal products, data from Statistics Canada showed on Thursday.

The 0.5 percent increase in total sales topped economists’ forecasts for a 0.3 percent decline, while volumes rose 0.7 percent. August was downwardly revised to a gain of 1.4 percent from a previously reported 1.6 percent increase.

Still, the breadth of sales across sectors in September was not deep, with sales up in 7 out of 21 industries, accounting for just 28.9 percent of the manufacturing sector.

The petroleum and coal industry led the way with a 10.3 percent increase in sales, amid higher prices and volumes.

The gain was tempered by a 0.7 percent decline in the transportation sector as sales of motor vehicles and parts fell. Excluding vehicles, total manufacturing sales were up 1.4 percent.

Overall new orders declined by 1.7 percent after a strong gain in August and as there was less demand in the aerospace and vehicles industries.

Reporting by Leah Schnurr; Editing by Bernadette Baum