Tuesday, October 13th2.5°C

Automakers wheeling and dealing

Several auto companies continued to enjoy strong sales in Canada last month, with both domestic and foreign automakers reporting surging sales compared to May 2011.

The numbers suggest pent-up demand appears to be overshadowing any fears about making a big ticket purchase in a shaky economy.

Several big name companies reported double digit increases in a month that compared very favourably on a year-over-year basis, when last March's earthquake in Japan slowed production at Honda and Toyota factories, and dealers ran short of cars by May.

Despite faltering stock markets and consumer confidence, drivers are also buying in droves to replace aging vehicles, a shopping trip that was delayed during the recession.

Ford of Canada reported its best May since 1997, helping it to surpass Detroit Big Three rival Chrysler to regain the position of Canada's top-selling automaker both for May and the year so far.

Ford Canada saw May sales jump 27 per cent to 32,338 vehicles from 25,448 in the same month of 2011.

The automaker said overall car sales rose 31 per cent, driven by strong demand for fuel efficient vehicles. Full-sized pickups saw a 46 per cent increase, powered by sales of its F-150, which saw a 52 per cent jump.

"May was a good growth month for Ford of Canada, with strong sales across the entire lineup of cars, utilities and trucks," said Dianne Craig, president and CEO of Ford of Canada.

Still, Chrysler Canada said it enjoyed its 30th consecutive year-over-year increase in May, with sales rising seven per cent to 26,218 vehicles from 24,406 in May 2011.

"There have only been three months in the last 10 years that have hit the 26,000 sales mark and I'm thrilled to count May 2012 among them," said chief operating officer Dave Buckingham.

The increase in vehicle sales in May gave Chrysler its best retail sales numbers for the calendar year to date since 2002, the company said in a release.

Japanese automakers seemed to rebound thoroughly from supply challenges faced since the country's massive earthquake and tsunami in March 2011.

Toyota Canada Inc. said it has regained momentum from "post-tsunami" challenges and saw sales jump to 19,810, a 64.7 per cent increase over May 2011. Sales of its Prius family of hybrids were especially strong, seeing a whopping 804 per cent increase over last May.

Nissan Canada Inc. said it sold 9,204 units, an increase of 36.9 per cent over May 2011.

Meanwhile, South Korea's Hyundai Auto Canada Corp. recorded a two per cent increase in May sales to 14,249 vehicles from 13,967, its best May ever and 41st consecutive year-over-year monthly increase.

The Canadian Press

Read more Business News


Recent Trending

Today's Market
S&P TSX13964.36-14.30
S&P CDNX552.26+5.20
S&P 5002008.72-8.74
CDN Dollar0.7652-0.0039
Natural Gas2.516-0.019

Okanagan Companies
Pacific Safety0.225-0.005
QHR Technologies Inc1.25+0.02
Metalex Ventures0.07+0.02
Russel Metals21.26-0.29
Copper Mountain Mining0.66+0.05
Colorado Resources0.07+0.00
ReliaBrand Inc0.0245+0.0070
Sunrise Resources Ltd0.02+0.00
Mission Ready Services0.075-0.005
Decisive Dividend Corp3.25+0.14
Diamcor Mining0.97+0.03



2453004430 Brighton Rd.
4 bedrooms 2 baths
more details
Click here to feature your property
Please wait... loading

Income for life?

Photo: Thinkstock.comIn almost every conversation I have with clients these days, the topic swings to interest rates. What direction they’re going, how long will they stay where they are and how...

Perfect (reno'd) home

Photo: Thinkstock.comHow many times have you found a home in the perfect location, but it needs too much work as per the home inspection? There is a great program available through most lenders that w...

5 Claim misconceptions

Photo: Thinkstock.comIf you have been hurt in an accident or as a result of medical negligence you will likely look to your friends and family for some advice on how to deal with the situation. These ...




Member of BC Press Council