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Canadian Factory Sales Rebound In April

Statistics Canada says a 7.9 percent price hike and a return to more normal production levels after maintenance were the key reasons for April's showing.

OTTAWA (CP) -- Factory sales by manufacturers rose two percent in April to $49.8 billion after declining in March.

Gains were led by the petroleum products industry but still were broadly based.

Seventeen of 21 manufacturing industries, representing 80 percent of total sales, reported increases.

Sales of petroleum and coal products were up nine percent, hitting $7 billion for the first time and dominating all industries.

Statistics Canada says a 7.9 percent price hike and a return to more normal production levels after maintenance were the key reasons for April's showing.

Excluding petroleum from the mix, total manufacturing sales still climbed one percent.

Manufacturing sales of chemical products advanced 3.8 percent to $4.1 billion in April.

The agency says higher prices (up 2.3 percent) and the timing of shipments, some of which were delayed in March, contributed to the boost.

The machinery industry posted a 5.7 percent rebound in sales.

Manufacturers' sales of motor vehicles rose 1.8 percent to $4.1 billion in April after a 5.9 percent drop in March.

The aerospace products and parts industry reported a 25.2 percent drop.

In volume, manufacturers' sales improved 1.3 percent to $47.2 billion in April, measured at 2002 prices. This marked the third increase in volumes in four months.

By province, healthy increases in sales of petroleum products contributed to improved manufacturing sales in Ontario (up 1.4 percent), Alberta (4.3) and New Brunswick (17.3). Seven provinces reported higher sales.

Manufacturers' inventories advanced 0.4 percent to $65.3 billion in April.

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