Canadian Deindustrialization

I thought I knew all about the manufacturing crisis, but I was was still kind of stunned when I did a quick stat check to respond  to a comment on my earlier post on globalization and unions.

In 2000, manufacturing output (in constant 2002 dollar terms) amounted to $188.9 Billion.

In 2010, manufacturing output amounted to $158.3 Billion – 16% less than in 2000 in constant dollar terms.

Manufacturing output fell from 18.4% to 12.8% of GDP over that period.

(2011 annual average figures not yet in – there may have been a very small uptick.)

Manufacturing employment fell by by 505,000 or by 22.5% (from 2,249,000 to 1,744,000) between 2000 and 2010. (Labour Force Survey.)

As a share of employment, manufacturing fell from 15.6% to 10.4% (and slipped very slightly again to 10.35% in 2011.

The decline in manufacturing employment has been greater than the decline in production, indicating that stronger than average labour productivity growth  has been a factor behind job losses.

But the fact of Canadian deindustrialization is glaringly apparent.

One comment

  1. Every time I read about the loss of manufacturing jobs I think of Steve Jobs reply to President Obama as reported in the New York Times back in January:

    “Not long ago, Apple boasted that its products were made in America. Today, few are. Almost all of the 70 million iPhones, 30 million iPads and 59 million other products Apple sold last year were manufactured overseas.
    Why can’t that work come home? Mr. Obama asked.
    Mr. Jobs’s reply was unambiguous. ‘Those jobs aren’t coming back,’ he said, according to another dinner guest.”
    They’re not. So where do we go from here?

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