Sales Growth at Dealerships

The Canadian Automobile Dealers Association (CADA) has released its annual CADA Data Report, analyzing market dynamics across Canada’s franchised new-vehicle dealership network.

Consolidating data from Statistics Canada, J.D. Power, DesRosiers Automotive Consultants, Canadian Black Book, NCM Associates, and MNP, the report indicates that 1,897,055 new vehicles were sold in Canada, representing a two percent increase year-over-year.

Despite overall volume growth, high interest rates and vehicle pricing continue to reshape consumer purchasing patterns. The average amount financed for a new vehicle rose to $57,981. Driven by budget sensitivities, hybrid vehicle registrations continued to gain market share, while battery-electric vehicle (BEV) registrations experienced a decline across Canadian provinces.

“The increasingly volatile commercial and trade environment has introduced new uncertainty for dealers, manufacturers and consumers alike,” said Tim Reuss, President and CEO of CADA. “Reliable market data helps businesses adapt, informs policymakers and highlights the economic contribution made by dealers.”

“Affordability is one of the defining themes across the automotive retail sector,” noted Charles Bernard, Chief Economist at CADA. “Elevated vehicle prices, financing costs and household budget pressures are prompting consumers to keep vehicles longer and focus more closely on monthly payments.”

For Canadian automotive dealer principals, OEMs, and retail automotive executives, the report confirms a shift toward hybrid powertrains and structured financing solutions to address household affordability limits.