July 5, 2007
Hot June vehicle sales “best June on record”
Richmond Hill, Ontario – Canadian passenger car and light truck sales were up 7.6 percent in June to 169,174 vehicles, and up 5.8 percent for the first half of the year, according to automotive analyst, Dennis Desrosiers.
“This is the best June on record for Canada and comes on the heels of record sales during the month of May. The market is tracking at about 1.70 million units and we now have the possibility of record setting sales for the full year,” said Desrosiers.
A number of positive factors are supporting these sales numbers, said Desrosiers. “First, job growth in Canada is quite strong (despite the loss of manufacturing jobs in Ontario) and we have a saying in the automotive sector, “If you have a job, you need a car”. And if you have a job you can afford a vehicle. Second would be the strength of the Western resource economies. Third, is the strength of the dollar which is giving many OEMs some pricing power: Thus, you witness the current round of incentives that were launched yesterday despite the strength in the market.”
Notable gainers in June were BMW, up 43.2 percent and selling at almost twice the pace of Mercedes Benz. Mitsubishi up 48.0 percent, Land Rover up 39.5 percent, DaimlerChrysler up 24.1 percent, Nissan up 34.8 percent, Suzuki up 25.5 percent, Volkswagen up 29.2 percent and Smart up 21.3 percent.
Of the “Big Three”, DaimlerChrysler was up 24.1 percent, Ford was up slightly at 0.6%, but General Motors declined 6.5%. Desrosiers said that GM’s sales decline in June is mostly due to lower fleet vehicle sales, as the company is cutting back on sales to rental and corporate fleets.
Canadian vehicle sales by manufacturer:
|Manufacturer||June 2007||June 2006||Per cent change|
|Total light vehicle sales||169,174||157,286||7.6|