Investment in Building Construction Rose 1.8% in July

Investment In Building Construction - July 2020

Sept 24, 2020

Total investment in building construction increased 1.8% to $15.1 billion in July. Residential sector investment increased 4.9% to $9.9 billion, while non-residential investment decreased 3.7% to $5.3 billion. Construction activity has rebounded in the last few months, with investment in building construction remaining slightly lower than February 2020 levels, before COVID-19 construction restrictions were first put in place. On a constant dollar basis (2012=100), investment in building construction increased 2.0% to $12.4 billion.

Residential construction up for the third consecutive month

Investment in residential construction rose 4.9% to $9.9 billion in July, with increases in both single-unit (+7.5% to $5.1 billion) and multi-unit (+2.4% to $4.8 billion) investment. Ontario (+4.5% to $4.0 billion) and Quebec (+5.6% to $2.0 billion) led all of Canada in residential gains. 

Despite another month of residential growth, national investment was 3.7% lower than the pre-COVID-19 levels observed in February 2020. Quebec had the largest gap between current and pre-COVID-19 levels, down $249.6 million or 10.9% compared with February 2020.

Non-residential investment pulls back 

Following strong gains in June, non-residential construction investment declined 3.7% to $5.3 billion in July, with decreases reported in all three components. Eight provinces reported declines for the month, with the largest decreases in Ontario (-3.2% to $2.1 billion) and Quebec (-4.8% to $1.4 billion). Newfoundland and Labrador (+4.2%) and Prince Edward Island (+4.1%) were the only provinces to report gains for the month. Further declines are anticipated in this sector as many office buildings and shopping malls remain under-utilized. 

The commercial component represented the majority of non-residential declines, down 5.0% to $3.1 billion in July. Nine provinces reported declines for the month, while Prince Edward Island reported an increase of 29.2% to $7.1 million. The largest declines were reported in Quebec (-7.8%) and Ontario (-3.9%), although both provinces remained above pre-COVID-19 levels. Declines in those provinces were attributed to a combination of fewer new construction starts, and several major projects winding down to completion. 

The institutional component of non-residential investment decreased 0.8% to $1.2 billion in July. Quebec reported the majority of declines for the month, more than offsetting gains in British Columbia and Newfoundland and Labrador. 

Nationally, the industrial component was down 2.8% in July. Eight provinces reported declines, with the largest decrease in Ontario, down 4.2% to $369.5 million.

Source: Statistics Canada, www150.statcan.gc.ca/n1/daily-quotidien/200921/dq200921a-eng.htm

Related Articles


Latest Articles

  • Celebrating 30 Years of Innovation and Collaboration at EFC’s 2025 Conference in Niagara

    Celebrating 30 Years of Innovation and Collaboration at EFC’s 2025 Conference in Niagara

    By Luc Rodier, Chair of the Board of Electro-Federation Canada (EFC) The 2025 EFC Conference in Niagara was a landmark occasion—marking 30 years of innovation, collaboration, and collective progress in the Canadian electrical industry. Set against the symbolic backdrop of the Canadian-U.S. border, this year’s theme, Electrifying Connections, couldn’t have been more fitting. As President and… Read More…

  • Industrial Wiring Devices: A Brief Intro and How to Choose Them

    Industrial Wiring Devices: A Brief Intro and How to Choose Them

    June 9, 2025 Introduction: With the multitude of options on the market, it can be difficult to decide whether you need a pin and sleeve wiring device or a plug and connector in your industrial plant or facility. You might find your head swirling with thoughts about which option is best. Or you may not… Read More…

  • Industry Leaders Head to Quebec to Strengthen Energy and Supply Chain Resilience

    Industry Leaders Head to Quebec to Strengthen Energy and Supply Chain Resilience

    June 9, 2025 By Electro-Federation Canada On June 3 and 4, a high-level delegation from Canada’s electrical and automation sector travelled to Montreal and Quebec City for a series of strategic meetings with Quebec government officials and key stakeholders. Organized by Electro-Federation Canada (EFC), this mission underscores the critical role the industry plays in advancing… Read More…

  • Electrifying Connections: A Celebration of Legacy, A Vision for the Future

    Electrifying Connections: A Celebration of Legacy, A Vision for the Future

    June 9, 2025 By Electro-Federation Canada This year’s Annual Industry Conference, held against the breathtaking backdrop of Niagara Falls, Ontario, was a landmark event with more than 710 Electro-Federation Canada community members. More than just a celebration of our shared history, it was a launchpad for new ideas, future-based dialogue, and deeper connections.   The energy and… Read More…


Changing Scene