Statistics Canada says the economy took a pause in July, the first month in 2017 that showed no growth.
The Ottawa-based agency says gross domestic product was essentially unchanged, at zero per cent growth in July compared with June, which marked the eighth month in a row of GDP growth.
Goods-producing industries saw a contraction of 0.5 per cent in July while service industries had overall growth of 0.2 per cent.
The oil and gas subsector shrank 1.8 per cent, with declines in both conventional and non-conventional production.
The manufacturing sector also fell 0.4 per cent overall, mostly because of declines in motor vehicle manufacturing and parts.
Growth in services was led by wholesale trade, which was up 2.0 per cent, the highest monthly gain since September 2014.