Fastest Declining Industries in Canada by Revenue Growth (%) in 2020

1. Car & Automobile Manufacturing in Canada

2019-2020 Revenue Growth: -16.6%

Over the five years to 2019, the Car and Automobile Manufacturing industry in Canada has struggled to recover as many automakers have moved operations abroad. Dissuaded by high labour costs in Canada, many international automakers have refocused investments toward Mexico and the United States. As a result, output has fallen from Canada's biggest car producers while remaining operations have increasingly focused on vehicle production that fall outside of the purview of the industry, such as sport utility vehicles (SUVs). However, exports, which account for more than 90.0% of industry revenue, have increased in recent years due to rising demand from... Learn More

2. Wired Telecommunications Carriers in Canada

2019-2020 Revenue Growth: -11.9%

Over the past decade, rapid technological advancements have changed the way humans interact, pushing the Wired Telecommunications Carriers industry in Canada to the sidelines of communication. External competition from the domestic Wireless Telecommunications Carriers industry (see IBISWorld report 51721CA) and Voice over Internet Protocol (VoIP) software have eaten away at sales from the industry's traditional sources of revenue, which are local and long-distance telephony services. Overall, revenue is expected to contract an annualized 8.5% to $5.4 billion over the five years to 2019. This includes revenue falling 11.2% in 2019 alone

Although households with high incomes initially purchased both wireless and... Learn More

3. Coal Mining in Canada

2019-2020 Revenue Growth: -6.9%

Operators in the Coal Mining industry in Canada have experienced wild fluctuations in prices of industry goods over the five years to 2019. Ultimately, industry revenue has increased at an annualized rate of 3.7% to $9.0 billion over the five years to 2019. The industry has two primary products, which include metallurgical coal used for steel production and thermal coal used in energy generation. While an imbalance between global supply and demand decreased prices previous to the reporting period, subsequent growth in prices due to supply disruptions in 2016 and 2017 helped to push revenue up overall. Domestic production of... Learn More

4. Canned Fruit & Vegetable Processing in Canada

2019-2020 Revenue Growth: -6.4%

Operators in the Canned Fruit and Vegetable Processing industry in Canada manufacture vegetable-based sauces, soups, canned produce, juices and dehydrated fruits and vegetables. The industry has struggled in recent years, with health concerns regarding some of its products alongside rising income levels prompting consumers to turn to fresher or premium alternative goods. Despite manufacturers’ efforts to introduce healthier brand extensions and safer packaging, demand for industry products has waned, lowering industry revenue. Overall, IBISWorld expects industry revenue to decline an annualized 1.8% to $3.0 billion over the five years to 2019, including a 2.2% decline in 2019 alone.In addition to the complications... Learn More

5. Battery Manufacturing in Canada

2019-2020 Revenue Growth: -5.8%

The Battery Manufacturing industry in Canada has been on the decline over the past decade. Over the five years to 2019, the industry experienced high revenue volatility, due to its large dependence on exports and the vast proliferation of imports which have mired the industry for year. As a small industry, booms and busts in revenue are dramatic, with a 15.8% surge in revenue over 2015 to begin the current period. However, high import competition and plummeting exports despite a weakened Canadian dollar hampered revenue growth, causing revenue to decline at an annualized rate of 5.4% over the five years... Learn More

6. Toy, Doll & Game Manufacturing in Canada

2019-2020 Revenue Growth: -4.6%

Products made by the Toy, Doll and Game Manufacturing industry in Canada are discretionary items. Therefore, demand for these products depends on the prevailing economic conditions and economic outlook. These factors have considerable influence on consumer confidence, affecting consumer spending and downstream demand. With manufacturers producing overlapping goods, price competition in this industry is high and domestic operators have been forced to reduce prices to compete with inexpensive imports, sourced from low-cost economies such as China. As a result of intense price-based competitive pressures from imports, some industry operators have been forced to exit the industry. In addition, many companies in this... Learn More

7. Lubricant Oil Manufacturing in Canada

2019-2020 Revenue Growth: -4.5%

The Lubricant Oil Manufacturing industry in Canada produces industrial and automotive lubricants for manufacturers and consumers, including motor oil, transmission fluid, rust inhibitors and machine oils. Most industry goods are based on petroleum products and industry revenue tends to track the price of crude oil. Over the five years to 2019, the industry has experienced mixed results, which is in line with volatility in the price of crude oil. Crude oil prices fell sharply during the first half of the reporting period, resulting in significant losses in industry revenue, although prices began to recover during the second half of the period.... Learn More

8. Truck & Bus Manufacturing in Canada

2019-2020 Revenue Growth: -4.3%

Over the five years to 2019, revenue for the Truck and Bus Manufacturing industry in Canada is expected to accelerate, bolstered by a resurgence in trade activity. As trade activity trends higher, downstream freight operators have responded by increasing their vehicle fleets, lifting demand at the manufacturing level. Plus, the depreciation of the Canadian dollar relative to other currencies is expected to catalyze industry export activity, further supporting industry expansion. The value of the loonie fell more than 10.0% in 2015, and while it has begun a recovery in recent years, it is still weak, instigating export growth by making... Learn More

9. Iron Ore Mining in Canada

2019-2020 Revenue Growth: -3.7%

Iron is a primary input in steel production, and performance in the Iron Ore Mining industry in Canada is closely tied to the strength of the global economy due to the widespread use of steel globally. As a result, trade is a significant part of the industry and global economic performance helps drive demand for the industry. Over the five years to 2019, fluctuating demand from China alongside increased global production of iron has put downward pressure on prices, with the world price of iron forecast to fall an annualized 8.6% over the past five years. This has damaged the value... Learn More

10. Nonferrous Metal Foundry Product Manufacturing in Canada

2019-2020 Revenue Growth: -3.3%

The Nonferrous Metal Foundry Product Manufacturing industry in Canada has performed well over the five years to 2019, despite massive drops in nonferrous metal prices and falling profit from 2015 highs. Companies in this industry form metal castings from moulds, which are then used as intermediary components in the production of motor vehicles, machinery, aircraft and other goods. Since nonferrous metals comprise the industry’s most significant input and output, foundries may be vulnerable to fluctuations in the prices of these metals, which are tied to trends in industrial activity. The price of nonferrous metals and other commodities diminished early in the period but have... Learn More