Canadian wholesale sales fell 1.6 per cent to $91.6 billion in August, led by declines in motor vehicles and parts and agricultural supplies, according to Statistics Canada.
Sales declined in five of seven subsectors, which accounted for 70.6 per cent of total wholesale sales. In volume terms, wholesale sales also fell 1.8 per cent during the month. However, sales were 7.2 per cent higher than in August 2025.
The figures exclude petroleum, petroleum products and other hydrocarbons, as well as oilseed and grain.
Vehicle and agricultural supply sales weigh on results
Wholesale sales of motor vehicles and motor vehicle parts and accessories fell 3.8 per cent to $15.1 billion in August, ending six consecutive months of increases. All three industry groups within the subsector recorded declines, led by the motor vehicle industry group, where sales dropped 4.6 per cent to $12.1 billion.
Agricultural supplies recorded the second-largest decrease among the reported subsectors and industry groups, with sales falling 12.4 per cent to $3.5 billion. Statistics Canada said lower sales from potash companies contributed to the decline.
The decreases were partly offset by continued growth in building materials and supplies, where sales rose 1.4 per cent to $14.1 billion. August marked the subsector's eighth consecutive monthly increase.
The lumber, millwork, hardware and other building supplies industry group led the gains, with sales increasing 3.3 per cent to $6.6 billion.
Ontario and Saskatchewan record largest provincial declines
Six provinces reported lower wholesale sales in August, with Ontario posting the largest decrease, followed by Saskatchewan.
Ontario's wholesale sales declined 1.6 per cent to $47.8 billion, ending six consecutive months of increases. Sales fell in five of the province's seven subsectors, with motor vehicles and motor vehicle parts and accessories accounting for the largest decrease. Sales in that subsector dropped 3.7 per cent to $10.5 billion.
Saskatchewan recorded the second-largest provincial decline, with wholesale sales falling 8.2 per cent to $3.8 billion. Three of the province's seven subsectors reported decreases, led by agricultural supplies within the miscellaneous subsector.
Wholesale inventories hold steady
Wholesale inventories were unchanged in August at $141 billion, according to Statistics Canada. The figures exclude petroleum, petroleum products, other hydrocarbons, and oilseed and grain.
Inventories declined in three of the seven subsectors. Motor vehicles and motor vehicle parts and accessories recorded the largest decrease, falling 3.7 per cent to $17.9 billion. Inventories in the food, beverage and tobacco subsector declined 1.5 per cent to $15.8 billion.
Those decreases were offset by higher inventories in personal and household goods, which rose 3.5 per cent to $23.3 billion. Most industry groups in that subsector recorded increases, led by pharmaceuticals and pharmacy supplies, where inventories climbed 6.6 per cent to $11.9 billion.
The inventory-to-sales ratio increased to 1.54 in August from 1.51 in July. The measure represents the number of months required to exhaust inventories if sales remain at current levels.