Canada Wholesale Sales Rise 1.9% in March, Boosted by Computer and Communications Equipment

By Robb M. Stewart

OTTAWA--Canadian wholesale trade increased for a second month running in March, boosted by the biggest rise in sales of computer and communications equipment in more than five years.

Wholesale sales rose 1.9% from the month before to a seasonally adjusted 88.99 billion Canadian dollars, the equivalent of US$64.92 billion, Statistics Canada said Thursday. The increase was stronger than the data agency's advance estimate for a 1.3% advance following February's upwardly revised 2.4% rise in sales.

Including petroleum, petroleum products and grain, wholesale trade rose by an even stronger 13.6% to C$134.92 billion as energy prices soared during the month with the escalation in the Iran conflict.

Not including petroleum and grain, and sales were up in five of the seven sectors tracked by the data agency. In volume terms, sales were up 1.7% from the previous month and just 0.2% from March 2025.

The biggest increase was in sales of machinery, equipment and supplies, lifted by an almost 18% rise in computer and communications equipment that Statistics Canada said reflected new product releases and deliveries to government clients.

Personal and household goods trade also increased, largely thanks to a fifth consecutive monthly rise in sales of pharmaceuticals and pharmacy supplies. A drop in sales of farm products moderated the growth in March sales.

Wholesalers--the largest component of Canada's services sector--connect farmers or manufacturers that produce goods with the companies and public institutions that use them. They also import goods from other countries and redistribute them within Canada.

After a modest contraction in the final quarter of last year, Canada's economy is again growing, albeit softly. Concerns over U.S. trade policy and tariffs are holding back business investment, and the recent spike in fuel prices as the conflict in Iran drags on has added to the uncertainty.

Higher energy prices helped lift exports and pushed Canada to its first monthly goods-trade surplus in six months in March, though a slip in employment and a rise in the number of people searching for work in April drove the jobless rate to its highest level in six months. Statistics Canada has forecast industry-level gross domestic product was essentially unchanged in March, which after modest growth in the first two months of 2026 has the economy tracking toward annualized growth of about 1.7% for the first quarter.

Wholesale sales during the first quarter increased 1.9% to about C$261.6 billion, and were 1.8% higher than the same period last year.

Statistics Canada said the value of wholesale inventories nudged up 0.3% during March to C$137.22 billion, led by increases in the stocks of machinery, equipment and supplies. Inventories in the food, beverage and tobacco sectors also were up for the month.

Including sales by petroleum, oilseed and grain merchants, wholesale inventories were 2.7% higher from the prior month at C$152.91 billion.

Write to Robb M. Stewart at robb.stewart@wsj.com

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May 14, 2026 09:20 ET (13:20 GMT)