Close X
Tuesday, October 1, 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

Indian-Origin MP Daniel Mookhey Takes Oath On Gita In Australia

Indian-Origin MP Daniel Mookhey Takes Oath On Gita In Australia
An Indian-origin MP from the Australian state of New South Wales on Tuesday become the first politician to be sworn in to Australian parliament on the Hindu religious text, the Bhagavad-Gita.

Indian-Origin MP Daniel Mookhey Takes Oath On Gita In Australia

Fresh 7.3 Magnitude Earthquake Kills 60 In Nepal, 10 In India, All Canadian Forces Members Safe

Fresh 7.3 Magnitude Earthquake Kills 60 In Nepal, 10 In India, All Canadian Forces Members Safe
At least 60 people were killed and 1,129 were injured when a massive earthquake shook Nepal on Tuesday causing panic in the Himalayan nation which was still recovering from the devastating April 25 temblor.

Fresh 7.3 Magnitude Earthquake Kills 60 In Nepal, 10 In India, All Canadian Forces Members Safe

British Indian MP Priti Patel Appointed Employment Minister

British Indian MP Priti Patel has been appointed employment minister in Prime Minister David Cameron's new cabinet, BBC reported on Monday.

British Indian MP Priti Patel Appointed Employment Minister

Marriages For Visas: Indian Couple Charged Over Visa Scam Involving Bogus Marriages In Australia

Marriages For Visas: Indian Couple Charged Over Visa Scam Involving Bogus Marriages In Australia
Chetan Mohanlal Mashru has been accused of 17 counts of arranging marriages for visas and 28 other charges, including influencing a Commonwealth public official

Marriages For Visas: Indian Couple Charged Over Visa Scam Involving Bogus Marriages In Australia

Cancellation Of Indian-origin Doctor's Practice Demanded In Australian

Cancellation Of Indian-origin Doctor's Practice Demanded In Australian
Australian authorities have demanded that the practice of an Indian-origin surgeon facing disciplinary action be cancelled in view of his "unprofessional conduct", a media report said on Monday.

Cancellation Of Indian-origin Doctor's Practice Demanded In Australian

Indian Expat Attacked In Doha Mall For Anti-Islam Facebook Post

Indian Expat Attacked In Doha Mall For Anti-Islam Facebook Post
The three-minute video shows the group attacking the young man, suspected of having posted comments on Facebook that offended Muslims, outside a shopping mall perhaps on May 8, Peninsula Qatar reported on Monday.

Indian Expat Attacked In Doha Mall For Anti-Islam Facebook Post