Automobile sales in Canada hit record highs in last year due to consumer demand for pickups and SUVs, in spite of ending the year on a weaker note that might continue this year.
Automakers sold about 1.95 million units in Canada in 2016, rise of about 3 percent from another record year, 2015, car analyst Dennis DesRosiers and Scotiabank Senior Economist Carlos Gomes wrote in notes to customers on Wednesday afternoon.
December sales in Canada decreased around 3 percent on a yearly basis because of weaker need for car, they stated.
However after 3 years of rising Canadian car sales, Gomes does not anticipate another record in 2017 as producers increase rates due to the relative weakness of the Canadian dollar.
“Purchases have regularly reached new yearly records from 2013, but are likely to trend lower over the coming year, pushed by some deterioration in vehicle affordability,” Gomes wrote.
Ford Motor, the leading seller in Canada, stated 2016 was its finest year for Canadian sales since 1989, mostly because of demand for its F-Series pickups. The car manufacturer stated it sold 304,618 automobiles in Canada in 2016, rise of 9.4 percent in 2015.
General Motors provided 267,341 vehicles in 2016, rise of 1.5 percent from the previous year, while Fiat Chrysler Automobiles (FCA) reported a 4 percent decrease in sales last year from 2015.
Toyota Motor stated its Canadian sales boosted 4.2 percent in 2016 to 217,792 automobiles, driven by higher sales of trucks, in addition to high-end and hybrid cars.
Experts had stated they expected car manufacturers in general would set another Canadian market record in last year, with sales increasing to around 1.96 million automobiles from 1.90 million units in 2015.
In December, Canadian car sales decreased 2.6 percent, on yearly basis, to 125,600 units.
