Close X
Wednesday, October 2, 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

'Pakistan No Place For Women'

'Pakistan No Place For Women'
Even Nobel Peace Prize winner Malala Yousafzai and social activist Mukhtaran Mai are not being honoured in Pakistan as women still remained the most backward in the country, a leading daily said Saturday.

'Pakistan No Place For Women'

After Obama's Shots, NYT Asks Modi To Break His 'Dangerous Silence'

After Obama's Shots, NYT Asks Modi To Break His 'Dangerous Silence'
As President Barack Obama's comments that religious intolerance in India would have shocked Mahatma Gandhi raised a storm in India, the New York Times asked Prime Minister Narendra Modi to break his "deafening silence."

After Obama's Shots, NYT Asks Modi To Break His 'Dangerous Silence'

India Affirms Commitment To Rights Of Girl Child

India Affirms Commitment To Rights Of Girl Child
Vowing to create a "world fit for children", India has reaffirmed its focus on the development of the girl child, ensuring her education and fighting to end discrimination.

India Affirms Commitment To Rights Of Girl Child

Obama Invokes India's Example To Condemn Religious Intolerance

Obama Invokes India's Example To Condemn Religious Intolerance
US President Barack Obama Thursday invoked India's example to make a plea for religious freedom and how faith leads people to do good and what's right but that faith also can be twisted to be used as a weapon.

Obama Invokes India's Example To Condemn Religious Intolerance

Selfies Led To Indian-american Pilot Amritpal Singh's Fatal Plane Crash In Colorado

Selfies Led To Indian-american Pilot Amritpal Singh's Fatal Plane Crash In Colorado
Pilot Amritpal Singh, 29, and his passenger were killed instantly when Singh's Cessna 150K crashed into a wheat field shortly after midnight May 31, USA Today reported. The wreckage was discovered around 7:30 that morning.

Selfies Led To Indian-american Pilot Amritpal Singh's Fatal Plane Crash In Colorado

British Sikhs Campaign Manifesto Targets Seats In West London For 2015 Elections

British Sikhs Campaign Manifesto Targets Seats In West London For 2015 Elections
The British Sikh community has launched a first-of-its-kind political campaign targeting 50 seats nationwide, including three in west London, for the impending 2015 general elections.

British Sikhs Campaign Manifesto Targets Seats In West London For 2015 Elections