Canadian auto sector headed for record year
— Automakers in Canada had their best October ever, pushing industry sales up nearly seven per cent from a year ago and putting sales on track for what could be a record year.
Overall vehicle sales in Canada rose 7.8 per cent year-over-year last month to 135,476, compared with 125,680 in October 2011, according to DesRosiers Automotive Consultants.
“Indeed, this is the best October ever, beating the previous record from 2002 when sales climbed to 134,694 units,” Dennis DesRosiers said.
“This positive performance pushed the (seasonallyadjusted annual rate) up to 1.78 million units, setting up Canada to see as many as 1.7 million units sold on a fullyear basis.”
DesRosiers notes that sales have only broken the 1.7 million mark in one other year, 2002, when about 25,000 of those vehicles were sold to Americans buying because of favourable exchange rates.
“If you take these export volumes into account, 2012 could be the best year ever,” he said.
Gas prices have been a key concern for cost-conscious buyers and it has helped push sales of smaller, more fuel-efficient cars over trucks.
Car sales were up 16.3 per cent in October, while truck sales grew at a slower 1.7 per cent pace. For the year, car sales were up 10.1 per cent, compared to 4.1 per cent for trucks. Still, more trucks have been sold than cars so far this year and truck sales comprise 54.4 per cent of the market.
Ford Canada claimed the title of Canada’s top-selling automaker for the month and the year so far, taking about 17 per cent of the market share.
The Canadian division of the U.S. automaker said Thursday its overall sales grew seven per cent to 20,565 vehicles from 19,190 in October 2011, largely driven by a 17 per cent jump in car sales. Truck sales were also up, with a five per cent increase over last October.
“The auto industry is a key engine driving the Canadian economy and it is showing strong, sustainable growth,” said Dianne Craig, president and CEO, Ford of Canada.
“Fuel economy continues to be a key purchase consideration for consumers.”