After holding up well in June despite some expected disruption in the sectors affected by the start of the wildfires, Quebec's economy was sluggish again in July. Although the forestry industry has suffered in some regions since early summer, particularly in terms of wood harvesting and processing, it has had little impact on Quebec's real GDP growth so far. The economic weakness has been caused by other sectors, particularly the construction industry, which is dragging goods-producing sectors down. Most service industries are continuing to grow, which could help Quebec avoid a decline in real GDP in the third quarter. However, the economy is likely to be disrupted by the St. Lawrence Seaway strike, which could hamper activity in many industries and take a further toll on Quebec's economy this fall.