The Canadian Statistics Agency said on Tuesday that manufacturing sales did not change in September to remain at 70.4 billion dollars. The federal agency said that gains made in durable goods sales, including aerospace products and parts, primary metal, and machinery, were offset by a decline in non-durable goods including petroleum, coal products, and food.

The country also saw an 11.1 percent monthly gain in aircraft products and parts to 1.7 billion dollars, helping durable goods sales rise by 1.0 percent to 34.1 billion dollars.

Also, primary metal sales increased by 2.9 percent to 5.6 billion dollars in September, while the machinery sector added 3.6 percent to 4.3 billion dollars.

Meanwhile, non-durable goods sales declined by 0.9 percent to 36.3 billion dollars in September, as petroleum and coal product sales fell 2.4 percent to 9.5 billion dollars, and food industry sales dropped 1.8 percent to 11.9 billion dollars. Sales in constant dollars decreased by 0.2 percent in September.

Stephen Brown, Chief Canadian Economist at Capital Economics, also said: "Manufacturing sales volumes declined in September, and with business surveys continuing to weaken, and inventory levels now looking unusually high, further declines are likely. We expect weak industrial production to contribute to a mild recession in the first half of 2023."

In a separate report, the Canadian Statistics Agency said on Tuesday that wholesale sales rose by 0.1 percent to 81.8 billion dollars, with sales rising in five of seven sub-sectors.

Additionally, wholesale sales of personal and household goods rose by 4.3 percent to 11.2 billion dollars, the largest monthly increase since June 2020, supported by wholesalers in pharmaceutical and drugstore products who increased 5.7 percent to 6.2 billion dollars.

Meanwhile, the food, beverage, and tobacco sub-sector rose by 1.9 percent to 14.9 billion dollars, with the food industry increasing 2.3 percent to reach 13.3 billion dollars.

In the same vein, the miscellaneous sub-sector declined by 5.8 percent to 12.3 billion dollars in September, the largest decline since April 2020. Total wholesale sales decreased by 0.2 percent in constant dollars in September.