If there is perhaps one word to sum up Canadian new vehicle sales in March 2013, it is consistent. Although the total was very slightly down (0.7 per cent) compared with the same month last year (an industry record we might add), demand remained strong and it follows the trend from January and February where sales, although slightly below 2012 numbers were still solid nonetheless. A total of 156,680 vehicles were sold in March with some brands posting gains, some holding steady and others seeing slight declines.
According to DesRosiers Automotive Consultants, the biggest winners were luxury brands, Acura and Jaguar in particular showing strong gains over 2012 (selling almost double the number of units they did in March last year). Infiniti, Land Rover, Mercedes-Benz, smart and BMW also saw double digit monthly percentage increases over March last year. In general, luxury brands outperformed the overall new vehicle market, indicating that consumer appetite for premium cars and SUVs remains strong.
When it comes to mainstream brands there was a mixture of winners and losers in March. While Ford continued to set the pace in terms of overall vehicle sales (delivering 25,082 units), growth was a modest 1.7 per cent over 2012. By contrast, Chrysler Group, which posted the biggest gains for Domestic manufacturers, sold 24,124 vehicles last month, representing a significant 7 per cent increase over March 2012, resulting in a year to date market share of 16.3 per cent (it was 15.3 per cent this time last year). Meanwhile, General Motors continued to see market share slide from 13.8 per cent in March last year to 13.5 last month). The automaker delivered 20,128 units across its four brands in March 2013 (a 10.9 per cent decrease over the same period last year), though a raft of new products this year could help stem the tide.
In terms of mainstream Japanese and Korean automakers, Honda and Toyota, despite ramping up production over the last year, actually saw losses in their Canadian market share for Q1 this year, the former’s March 2013 sales were down by 0.6 per cent compared with the same time last year, shrinking year to date market share from 8.1 to 7.3 per cent. Meanwhile Toyota saw a 6.2 per cent drop in March sales, delivering 15,065 vehicles for the month (versus 16,054 this time last year). Although it continues to maintain the highest overall market share among import brands, so far this year that percentage has dropped, from 10.1 to 9.3 per cent.
The Korean duo of Hyundai and Kia, which saw very strong growth last year have witnessed slowing demand in 2013—in March the trend continued. Hyundai reported a 4.7 per cent decrease in sales compared with a year earlier, while Kia saw an 11.3 per cent decline over its March 2012 numbers.
In terms of auto sales so far this year it would appear that 2013, while unlikely to match last year’s performance could still end up being one of the best on record in terms of overall volume, so long as financing remains accessible and consumer confidence continues.
