Growth in Canada's manufacturing sector eased slightly in August as new orders expanded at a weaker pace.
The IHS Markit Canada manufacturing purchasing managers' index fell to a three-month low of 56.8 in August from 56.9 in July. A reading above 50 indicates expansion.
New orders grew at the weakest pace in four months despite a slightly stronger contribution from export sales, the report said. But while new work from abroad rose, some factories reported that recent U.S. tariffs had weighed on competitiveness.
Production volumes rose at the sharpest rate since December 2010 as workloads increased.
The rate of input cost inflation in August was the steepest for almost seven-and-a-half years in the wake of steel and aluminum tariffs.
Output growth expectations fell to a five-month low on concerns about future export sales.