November 03, 2025
Canada's gross domestic product contracted 0.3% in August
Statistics Canada announced that Canada's real gross domestic product (GDP) contracted 0.3% in August, offsetting most of July's 0.3% expansion, with decreases in goods-producing and services-producing industries.
The Federal Agency says goods-producing industries declined 0.6% in August, marking this aggregate's fifth contraction since the beginning of the year.
Services-producing industries edged down 0.1%, marking this aggregate's first decline in six months, driven by contractions in transportation and warehousing and in wholesale trade.
The manufacturing sector was down 0.5% in August on broad-based declines across durable and non-durable manufacturing industries.
The wholesale trade sector declined 1.2% in August, after three consecutive monthly increases. Motor vehicle and parts wholesalers (-8.3%) led the decline in August as activity in the subsector eased, coinciding with lower exports and imports of motor vehicles and motor vehicle parts. Food, beverage and tobacco wholesalers fell 5.2% in August, the largest monthly contraction rate since November 2022, more than offsetting the preceding two consecutive monthly increases.