The result compared with what economists had expected would be a drop of 1.2 per cent.
The federal agency says sales in the petroleum and coal product industry fell 11.9 per cent in January — the seventh consecutive monthly decline.
Sales of machinery fell 8.9 per cent in January, after a 10.4 per cent gain in December.
Excluding the petroleum and coal product industry, manufacturing sales fell 0.5 per cent.
Sales fell in eight provinces, with Ontario and Alberta posting the largest declines.
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