Top Growing Manufacturing Industries in Canada in 2026: Sales Rankings by Sector

Canadian manufacturing sales reached $527.6 billion in the first seven months of 2026. January was the weakest month in the series and June was the strongest. Here is the full industry breakdown behind that swing.

Canadian manufacturers sold $64.3 billion of goods in January 2026, the lowest month in the available series. Five months later they sold $83.0 billion, the highest. That is a $18.7 billion swing inside a single half-year, and it did not come evenly from across the sector.

Non-durable goods manufacturing grew 11.1% in the first seven months of 2026 against the same period in 2025. Durable goods grew 2.9%. Four industries account for most of the difference.

All figures in this article are drawn from Statistics Canada manufacturers' sales data covering January 2024 through July 2026, reported unadjusted in current dollars.

We pulled the full NAICS hierarchy and worked through it from the sector total down to four-digit industry level. What follows is where Canadian manufacturing is growing, where it is contracting, and which categories are moving in opposite directions inside the same headline group.

Canadian Manufacturing Sales Reached $527.6 Billion Through July 2026

Manufacturing sales for the first seven months of 2026 came to $527.6 billion, up 6.9% on the same period in 2025 and 5.8% on 2024. The monthly path was uneven.

January and February 2026 were the two weakest months in the entire series at $64.3 billion and $65.6 billion. March onward ran between $76.8 billion and $83.0 billion, with four of those five months above anything recorded in 2024 or 2025. The series low and the series high sit five months apart.

Non-Durable Goods Grew Four Times Faster Than Durables

Manufacturing splits into two halves that are now almost identical in size. Non-durable goods sales reached $266.2 billion in the first seven months of 2026 and durable goods $261.4 billion. The growth rates are not close.

Non-durables grew 11.1% against 2025 and 7.3% against 2024. Durables grew 2.9% and 4.4%. Through 2024 and 2025 durable goods sales ran consistently ahead of non-durables in most quarters. That reversed in Q2 2026, when non-durables reached $40.9 billion a month against $39.3 billion for durables.

Fastest Growing Manufacturing Industries in Canada: Full Rankings

All 21 major manufacturing groups ranked by sales growth in the first seven months of 2026 against the same period in 2025, with the two year comparison alongside.

Food and transportation equipment are the two largest industries by sales at $95.3 billion and $79.1 billion. Petroleum and coal products rank third at $68.2 billion and contributed more dollar growth than any other industry, adding roughly $17.5 billion against 2025.

Petroleum and Coal Product Manufacturing Grew 34.6% to $68.2 Billion

Petroleum and coal products is the fastest growing major manufacturing industry in Canada in 2026, up 34.6% on 2025 and 20.0% on 2024. The category accounts for 12.9% of total manufacturing sales.

Monthly sales fell to $6.19 billion in April 2025, the lowest in the series. By May 2026 they reached $11.85 billion, the highest. Every month from March 2026 onward sat above $9.5 billion, well clear of anything recorded in the previous two years.

This industry is the single largest driver of the 11.1% non-durable growth figure. Without it, non-durable goods manufacturing grew closer to 4% on 2025.

Primary Metal Manufacturing Grew 17.8% Over Two Years

Primary metal manufacturing reached $46.7 billion, up 12.4% on 2025 and 17.8% on 2024. It is the second fastest growing major industry and the growth inside it is concentrated in two sub-industries.

Non-ferrous metal production excluding aluminum reached $20.9 billion, up 18.4% on 2025 and 44.5% on 2024, making it the strongest two year performer of any sub-industry in the dataset. Alumina and aluminum production reached $12.5 billion, up 22.2% on 2025 and 19.3% on 2024.

Iron and steel mills moved the opposite way, down 9.9% on 2025 and 19.1% on 2024, now trading at 76.9% of their May 2024 peak. Steel products made from purchased steel grew 7.7% and hit a series high in July 2026.

Aerospace Grew 10.8% While Motor Vehicle Manufacturing Fell 7.7%

Transportation equipment is Canada's second largest manufacturing industry at $79.1 billion and was effectively flat, down 0.2% on 2025 and up 0.9% on 2024. That flat headline covers two sub-industries moving hard in opposite directions.

Motor vehicle manufacturing reached $28.7 billion, down 7.7% on 2025 and 10.8% on 2024. January 2026 sales of $2.61 billion were the lowest month in the series, roughly half the $5.13 billion recorded in January 2025. The industry is trading at 76.6% of its March 2025 peak.

Aerospace products and parts reached $20.8 billion, up 10.8% on 2025 and 20.8% on 2024. Motor vehicle parts were flat at $20.5 billion, up 0.5% on 2025, and motor vehicle bodies and trailers fell 7.1%.

Vehicle assembly and parts moved differently. Motor vehicle manufacturing fell 7.7% while parts manufacturing held flat at 0.5%. Parts producers serve assembly plants on both sides of the border, so their volume did not fall with Canadian assembly output. The gap between the two is worth watching over the next several quarters.

Food Manufacturing Is Canada's Largest Industry at $95.3 Billion

Food manufacturing reached $95.3 billion in the first seven months of 2026, the largest of any manufacturing industry and 18.1% of total sector sales. It grew 4.6% on 2025 and 6.3% on 2024.

Grain and oilseed milling is the standout at $13.4 billion, up 28.0% on 2025 and 18.0% on 2024. Monthly sales climbed from roughly $1.45 billion through 2025 to above $2.14 billion for the three months to July 2026. Animal food manufacturing grew 8.0% and hit a series high in July 2026. Fruit and vegetable preserving grew 7.2%, dairy 4.1%, and meat products 1.5%.

Bakeries and tortilla manufacturing fell 1.7% on 2025 and 7.2% on 2024. Sugar and confectionery fell 7.9% on 2025. Beverage manufacturing fell 2.5% and cannabis product manufacturing fell 11.6%.

Grain milling and farm output are connected. Grain and oilseed milling growing 28% sits alongside strong Canadian farm production. Milling capacity converts raw grain into flour, oil and feed inputs, so this industry tracks agricultural throughput more directly than consumer food demand.

Plastics, Chemicals and Machinery Posted Mid-Single-Digit Growth

Three mid-sized industries grew between 6% and 10% and together account for roughly $99 billion of Canadian manufacturing sales.

Plastics and rubber products grew 10.0%

Plastics and rubber reached $25.7 billion, up 10.0% on 2025 and 8.7% on 2024. Plastic product manufacturing alone grew 12.4% to $21.9 billion and is trading at 97.4% of its June 2026 peak. Rubber products fell 1.8% on 2025.

Chemical manufacturing grew 7.2%

Chemicals reached $40.6 billion, up 7.2% on 2025 but only 1.1% on 2024. Resin and synthetic rubber grew 25.7% on 2025 and 21.0% on 2024. Basic chemicals grew 10.6% on 2025 while still sitting 5.2% below 2024. Pharmaceuticals grew 3.4% to $9.2 billion. Soap, cleaning compounds and toilet preparations fell 21.4% on 2025 and 22.4% on 2024, the largest decline of any sub-industry in the dataset.

Machinery manufacturing grew 6.1%

Machinery reached $32.6 billion, up 6.1% on 2025 and 5.4% on 2024. Metalworking machinery grew 16.6%, industrial machinery 9.0%, and ventilation, heating and air conditioning equipment 7.9%. Agricultural, construction and mining machinery grew 1.9% on 2025 while sitting 4.1% below 2024.

Declining Manufacturing Industries in Canada: Wood, Sawmills and Consumer Goods

Wood product manufacturing fell 11.2%, the worst of any major industry

Wood products reached $20.2 billion, down 11.2% on 2025 and 9.3% on 2024. Within it, veneer, plywood and engineered wood fell 18.0% and sawmills fell 13.9%. Monthly sawmill sales peaked in May 2024 and have not returned to that level. Other wood products were closer to flat at a 1.4% decline.

Non-metallic mineral products fell 5.3%

Non-metallic minerals reached $11.3 billion, down 5.3% on 2025 and 4.7% on 2024. Cement and concrete products fell 3.0%, and other non-metallic minerals fell 9.0% on 2025 and 14.3% on 2024. Glass products were the exception within the group.

Construction-linked manufacturing is contracting. Wood products down 11.2%, non-metallic minerals down 5.3%, and cement and concrete down 3.0%. Three industries tied to building activity are all falling while machinery and fabricated metal are growing. The weakness is concentrated in residential building inputs rather than industrial or infrastructure work.

Where This Data Stops and Custom Research Begins

Everything above tells you how much money moved through each Canadian manufacturing industry. It does not tell you why, who captured it, or whether the same opportunity exists in your specific market.

Petroleum and coal products growing 34.6% includes price movement alongside volume. Primary metal growing 12.4% covers non-ferrous rising 18.4% and iron and steel falling 9.9% in the same group. Transportation equipment reads flat while motor vehicles fell 7.7% and aerospace rose 10.8%. National sales data will take you this far and no further.

The questions that follow usually need primary research. Who are the buyers in this category and what drives their purchasing decisions. Which competitors are gaining share and on what basis. What would customers pay for a different offer. Whether the growth showing up nationally is present in your region, your customer segment, or your price tier.

What we do at Bridging Local

We run custom research for businesses that need answers national datasets cannot provide. That means deep dives into a single industry or segment, buyer and decision-maker interviews, customer and competitor surveys, pricing and willingness-to-pay studies, and market sizing built from the ground up rather than estimated from published aggregates.

For manufacturers and suppliers specifically, that usually looks like mapping the buyer landscape in a category, testing a product or positioning concept with real customers before launch, sizing a regional or segment-level opportunity, or understanding why a competitor is winning accounts.

If you are working through a question in one of these industries and need evidence rather than inference, that is the work we do. Custom surveys, in-depth interviews, competitive analysis and industry deep dives, built around your specific decision.

Frequently Asked Questions

What are the fastest growing manufacturing industries in Canada in 2026?

Petroleum and coal product manufacturing leads at 34.6% growth against 2025, followed by primary metal at 12.4%, plastics and rubber products at 10.0%, electrical equipment and appliances at 8.7%, chemicals at 7.2%, fabricated metal products at 7.0% and machinery at 6.1%. At sub-industry level, grain and oilseed milling grew 28.0%, resin and synthetic rubber 25.7%, and alumina and aluminum production 22.2%.

How big is Canada's manufacturing industry in 2026?

Canadian manufacturers recorded $527.6 billion in sales in the first seven months of 2026, up 6.9% on the same period in 2025. Non-durable goods accounted for $266.2 billion and durable goods $261.4 billion. Food manufacturing is the largest individual industry at $95.3 billion, followed by transportation equipment at $79.1 billion and petroleum and coal products at $68.2 billion.

Which Canadian manufacturing industries are declining in 2026?

Wood product manufacturing fell 11.2% against 2025, the largest decline of any major industry, with veneer and plywood down 18.0% and sawmills down 13.9%. Non-metallic mineral products fell 5.3%, beverage and tobacco 3.7%, and textile mills 6.1%. At sub-industry level, soap and cleaning products fell 21.4%, iron and steel mills 9.9%, and motor vehicle manufacturing 7.7%.

Why did Canadian motor vehicle manufacturing fall in 2026?

Motor vehicle manufacturing sales reached $28.7 billion in the first seven months of 2026, down 7.7% on 2025 and 10.8% on 2024. January 2026 recorded $2.61 billion, the lowest month in the series and roughly half the January 2025 figure. The industry is trading at 76.6% of its March 2025 peak. Motor vehicle parts manufacturing held flat over the same period at 0.5% growth.

Is Canadian non-durable manufacturing bigger than durable manufacturing?

As of the first seven months of 2026, yes. Non-durable goods manufacturing recorded $266.2 billion in sales against $261.4 billion for durable goods. Through 2024 and most of 2025 durable goods ran ahead in most quarters. The reversal came in 2026, driven primarily by petroleum and coal products growing 34.6% and food manufacturing growing 4.6%.

About This Analysis

This analysis was produced by Bridging Local (RC Research & Insights Inc.), a Vancouver-based market research and business consulting firm, using Statistics Canada manufacturers' sales data. We run primary research across B2B and B2C markets, including surveys, competitive analysis, consumer studies and go-to-market strategy, for businesses that need real data behind their decisions. We also serve US, Europe and Global markets.

If you are sizing a market, testing a concept, or working out where demand sits in your category, our market research services are built for exactly that.