Close X
Wednesday, September 25, 2024
ADVT 
International

Auto Sales On Pace For Record, Driven By Popularity Of Light Trucks

Darpan News Desk The Canadian Press, 04 Jul, 2016 01:13 PM
  • Auto Sales On Pace For Record, Driven By Popularity Of Light Trucks
TORONTO — At least once a week, 76-year-old Ken Dacko makes the 200-kilometre round trip from his home in Alma, Ont., to the factory in Brampton, Ont., where he works.
 
Earlier this year, Dacko purchased a 2016 Jeep Wrangler. He says driving a brand-new vehicle that's reliable and guaranteed to start gives him peace of mind.
 
"Four-wheel drive is important for the winter time because I leave for work around three-thirty, four o'clock in the morning, and sometimes the roads this far north are not plowed," he says.
 
Dacko is one of thousands of Canadians snapping up new vehicles in droves, despite concerns about the economy and mounting consumer debt.
 
DesRosiers Automotive Consultants is expected to release figures later Monday showing how auto sales have fared for the first six months of the year.
 
The market research firm said last month that May sales dipped slightly from a year ago, but on a year-to-date basis they were still up 5.6 per cent, putting Canada on track for another record-breaking year.
 
Experts say cheap credit and economic strength in Ontario, British Columbia and to some extent Quebec are helping drive sales.
 
"Interest rates are incredibly low, and as we all know, vehicles are one of the big purchases in people's lives," says Charlotte Yates, an automotive industry expert and vice-president academic at the University of Guelph.
 
In recent years, consumers have been gravitating away from passenger cars and towards light trucks, a category that includes pickups, SUVs, minivans and crossovers. So far this year, that trend has continued.
 
Automotive analyst Dennis DesRosiers says crossovers have become especially popular in recent years, displacing the minivan as the family vehicle of choice.
 
"They fit everything, so the boomer has a vehicle that they can load up with their sports equipment and head out to the beach, and grandma and grandpa that are babysitting have a vehicle that they can put the kids in," DesRosiers says.
 
Their height also makes them convenient for people who may have mobility issues.
 
"They're much easier to get into and out of as opposed to a small sedan," says Scotiabank economist Carlos Gomes.
 
Yates says the relationship that Canadians have to the outdoors is another reason why sales of light trucks have been on fire.
 
"I do think there is a kind of iconic culture around the SUV, the crossover, the truck," says Yates. 
 
"We live a paradoxical existence. More and more of us live in cities, but we still have the myth that we need the four-wheel drive because we're going to the country. ... It's about expressing a kind of lifestyle choice, and I think that it's been very, very powerful."

MORE International ARTICLES

Canadian Pastor Jailed In North Korea Spends Days Working In Labour Camp: CNN

Canadian Pastor Jailed In North Korea Spends Days Working In Labour Camp: CNN
A Canadian pastor serving a life sentence in North Korea says he spends eight hours a day, six days a week, toiling in a labour camp, with no contact with the outside world.

Canadian Pastor Jailed In North Korea Spends Days Working In Labour Camp: CNN

Russian Girl Recites Vajpayee Poem, Earns Praise At Vishwa Hindi Diwas

Russian Girl Recites Vajpayee Poem, Earns Praise At Vishwa Hindi Diwas
Evgeniya, a student of Hindi at the Kendriya Hindi Sansthan, recited the poem "Pehchan" by Vajpayee flawlessly, after learning the language for just five months.

Russian Girl Recites Vajpayee Poem, Earns Praise At Vishwa Hindi Diwas

Grandmother Gives Birth To Granddaughter In USA

Grandmother Gives Birth To Granddaughter In USA
When Kelley was a teenager, she had jokingly asked her mother to carry her baby. Years later, her mom held true on her promise.

Grandmother Gives Birth To Granddaughter In USA

Indian American Community Lauded At Pravasi Bharatiya Divas In US

Indian American Community Lauded At Pravasi Bharatiya Divas In US
Opening an event to celebrate the Pravasi Bharatiya Divas at the Indian embassy here on Friday, he also highlighted the importance of the day.

Indian American Community Lauded At Pravasi Bharatiya Divas In US

If India Moves A Yard, Pakistan Will Move Even More: Ex-Pakistan Foreing Minister Khurshid Kasuri

If India Moves A Yard, Pakistan Will Move Even More: Ex-Pakistan Foreing Minister Khurshid Kasuri
He suggests a give and take between the two resolve outstanding issues. 

If India Moves A Yard, Pakistan Will Move Even More: Ex-Pakistan Foreing Minister Khurshid Kasuri

Two Teens Charged In Killing Of Canadian Found Stabbed In Belize: Police

Two Teens Charged In Killing Of Canadian Found Stabbed In Belize: Police
Matthiew Klinck — a producer and filmmaker from Quebec — was found stabbed to death after an apparent robbery at his home in Selena Village in Belize on Monday.

Two Teens Charged In Killing Of Canadian Found Stabbed In Belize: Police