According to Statistics Canada, prices of products manufactured in Canada, as measured by the Industrial Product Price Index (IPPI), declined 0.4 percent month over month in November and were 9.7 percent higher than in November 2021. Prices of raw materials purchased by manufacturers operating in Canada, as measured by the Raw Materials Price Index (RMPI), fell 0.8 percent on a monthly basis in November 2022 and increased 8.0 percent year over year.
In November, the IPPI declined 0.4 percent month over month and increased 9.7 percent on a year-over-year basis.
Energy and petroleum products (-2.7 percent) led the decrease in monthly IPPI. Compared with November 2021, prices were up 40.8 percent in November 2022. Among refined petroleum energy products (-2.7 percent), prices fell for finished motor gasoline (-6.8 percent) and diesel fuel (-1.1 percent).
Prices for motorized and recreational vehicles fell 0.6 percent in November 2022. Lower prices for motor vehicle engines and motor vehicle parts (-1.1 percent) and aircraft engines, aircraft parts and other aerospace equipment (-1.9 percent) were mainly responsible for the decrease. In November, the Canadian dollar appreciated 1.9 percent against the US dollar. As many prices in this category are reported in US dollars, the movement in the exchange rate contributed to the monthly price decrease.
In November, the RMPI fell 0.8 percent on a monthly basis and increased 8.0 percent year over year.
Crude energy products dropped 2.2 percent in November, mainly on lower prices for conventional crude oil (-3.6 percent). Synthetic crude oil (-2.5 percent) was also down. The decrease was partially due to expectations of lower global economic activity. China's Purchasing Manager's Index, an indicator of manufacturing activity, fell 1.2 percent in November, which reinforced these concerns.
Prices for metal ores, concentrates and scrap rose 1.3 percent in November, mainly due price increases for gold, silver, and platinum group metal ores and concentrates (+4.1 percent).