Canada’s economy grew 0.2% in May, according to new data from Statistics Canada released on Wednesday.
The increase in gross domestic product (GDP) was in line with economists’ expectations and followed up on a 0.3% decrease in April.
Growth was driven by the manufacturing sector for the consecutive month, which added 1% marking the largest increase since January 2023.
Mining, quarrying and oil and gas extracting decreased by 0.6% and wholesale trade was down 0.8% after increasing 1.4% in April.
Pipeline transportation was up 0.6%, in part attributed to the commencement of the expanded Trans Mountain Pipeline, with first tankers carrying Western Canadian oil departing the Port of Vancouver in late May.
The retail sector contracted, down 0.9%, with most retail subsectors down including purchases from food and beverage stores, health and personal care stores, and general merchandise stores.
Meanwhile, accommodation and food services and arts, entertainment and recreation rose in May up 0,9% and 0.3%, respectively.
Statistics Canada expects Canada’s GDP to increase by 0.1% in June, based on advance information indicating increases in construction, real estate, and finance and insurance were partially offset by decreases in manufacturing and wholesale trade.