Canadian economy stalls in July; early estimate points to August growth

Canada’s real gross domestic product by industry was essentially unchanged in July after three consecutive months of expansion, Statistics Canada reported September 29.

Ten of 20 industrial sectors expanded. Construction rose 1.3% for a fourth consecutive month, helped by a 2.9% increase in non-residential building construction. Utilities grew 1.7%, partly reflecting increased electricity demand during July heat.

Those gains were offset by declines elsewhere. Manufacturing fell 0.9%, its first decrease in four months, while retail trade dropped 1.0% and wholesale trade declined 0.4%. Mining, quarrying and oil and gas extraction contracted 0.5%.

Statistics Canada’s advance information indicates real GDP increased 0.2% in August, with gains in mining, quarrying and retail trade partly offset by lower oil and gas extraction. The agency cautions that the August figure is preliminary and will be updated with the official release on October 30.

Source: official release dated September 29, 2026.

Illustrative stock image; not the reported event. Photo by EJ Yao on Unsplash.