Canadians bought one million fresh vehicles through June, Driving
Canadians bought one million fresh vehicles through June
The two thousand seventeen Honda Civic is Canada’s best-selling car, having posted a Four.6 per cent boost through June.
Canadian auto sales are up five per cent so far this year, after crossing the one-million mark in June
Despite slumping passenger car sales, for the very first time more than one million fresh vehicles have been sold in Canada by the midway mark of the year.
DesRosiers Automotive Reports says overall car and light truck sales enlargened five per cent, with 1,039,068 vehicles moving off lots from January through June compared to the same time period last year. The market research rock hard says auto sales in June also set a fresh record, with 203,486 vehicles sold, 6.Five per cent more than during the same month a year ago.
Local Pricing & Incentives
- 2018
- 2017
- 2016
See what your neighbours are paying
Like in the past, sales of light trucks led the way in June, rising by ten per cent year-over-year and lightly offsetting a 0.1 per cent decline in passenger car sales. Year-to-date, passenger car sales were down two per cent while light truck sales were up 8.8 per cent. Canada’s best-selling vehicle outright, the Ford F-Series pickup, was up Nineteen.6 per cent compared to last June, with 15,307 units sold. The Honda Civic was Canada’s best-selling car; sales were up Four.6 per cent to 8,616 cars.
While this is the strongest commence on record for Canada, DesRosiers says a different picture has been forming in the U.S., where fresh vehicle sales have been down for four consecutive months as of June.
“Surpassing two thousand sixteen as an all-time record setting year may not be a foregone conclusion should Canada commence to go after that trend in the latter half of the year,” the hard said in a release.
Increasingly strong signals from the Bank of Canada that rock-bottom interest rates are nearing an end may also play a role in slowing down the furious rhythm of car sales, says Equifax Canada.
RELATED
Canadian auto sales up 11.Two per cent in May
“Higher rates may actually lead to a brief term blip as dealers and buyers look to take advantage of rates now,” said Bill Johnston, the credit bureau’s vice-president of data and analytics. “(But) over coming months, the cumulative rate hikes will begin to slowdown auto sales as manufacturers will find it more difficult to suggest the long-term promo rates.”
Michael Hatch, chief economist at the Canadian Automobile Dealers Association, says he doesn’t see a rate bump having a enormous influence on prospective buyers.
“For one thing, any rate increase in the brief term is likely to be very puny, in the 25-basis point ballpark,” he said, adding that the delinquency rate on auto loans resumes to sit at historically low levels.
A TransUnion Canada report for the very first quarter of two thousand seventeen demonstrated that while average auto lending balances rose Two.75 per cent year-over-year, at the same time, serious delinquency rates remained essentially vapid at 1.70 per cent.
George Iny, president of the Automobile Protection Association, said he expects car makers to proceed to keep interest rates low on fresh vehicles because it makes long-term car loans of seven to eight years more palatable to the public.
“It’s a bad loop if they get into it, if they raise rates, because it will then make the long loan unattractive,” he said. “And then people won’t take the vehicle at all.”
