This industry profile provides a five-year forecast for Canada’s wholesale trade industry.
Canadian Industrial Profile: Wholesale Trade—Autumn 2017
Canadian Industrial Profile: Wholesale Trade—Autumn 2017
Industry Economic Analysis
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Interest Rates—Given that many distributors finance their inventories from borrowing, rising interest rates will lead to higher industry costs moving forward.
Retail Sales—Retail sales growth has picked up since the start of 2016, supporting wholesaling demand. This will not last, however, as a slowing retail market is just around the corner as consumers continue to grapple with elevated debt levels.
Business Investment—After three consecutive annual contractions, business investment is on track to finally increase in 2017. Many wholesalers are distributors of equipment used by firms and will thus benefit from higher business investment and hope this reversal continues going forward.
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