Sales of new motor vehicles declined in September, almost completely offsetting the gains made in August. Seasonally adjusted data from the New Motor Vehicle Sales Survey show that 140,263 new vehicles were sold in September. This represents a decrease of 2.1% from August.
The September decline is attributable mainly to a decline in truck sales (which include minivans, sport-utility vehicles, light and heavy trucks, vans and buses). While declines were widespread across Canada, Ontario and Alberta accounted for the lion's share.
Decreases in sales in July and September resulted in a 2.6% decline in the number of new motor vehicles sold in the third quarter from the second quarter of 2007. This did not completely offset the gains made in the second quarter (+4.0%), the strongest quarterly growth in almost four years. Passenger cars followed a similar pattern, while a 3.4% third quarter decline in truck sales more than offset any gains made in the second quarter.
Note to readersAll data in this release are seasonally adjusted. Passenger cars include those used for personal and commercial purposes, such as taxis or rental cars. Trucks include minivans, sport-utility vehicles, light and heavy trucks, vans and buses. North American-built new motor vehicles include vehicles manufactured or assembled in Canada, the United States or Mexico. All other new motor vehicles are considered to have been manufactured overseas. For reasons of confidentiality, data for Yukon, the Northwest Territories and Nunavut are included with those for British Columbia. The New Motor Vehicle Sales Survey is compiled on the basis of figures obtained from motor vehicle manufacturers and importers. These results may vary from those obtained directly from auto dealers due to possible differences in record keeping. |
Preliminary industry data for the month of October show that new motor vehicle sales are expected to decline 2% due to a decrease in passenger car sales.
Sales of new trucks declined 4.1% in September to 67,215 vehicles. This decrease almost completely offset gains made in August. Combined with low sales in July, sales in August and September resulted in a 3.4% decline in truck sales for the third quarter. This was the lowest quarterly growth rate since the fourth quarter of 2003.
Unit sales of passenger cars were stable in September (-0.2%), totalling 73,048 units. Sales of North American-built vehicles (-0.4%) fell marginally to 46,624 units, while those of overseas-built vehicles (+0.2%) increased slightly to 26,424.
Third quarter sales of passenger cars offset some of the gains made in the second quarter, falling 1.9%. The majority of this decline came from a 2.7% decrease in sales of North American-built vehicles. Sales of overseas-built models (-0.5%) were more stable in the third quarter. So far in 2007, overseas-built cars have accounted for 36.1% of total passenger cars sold. This is higher than the 2006 average of 33.6%, and the highest share since 1992.
September unit sales were down in eight provinces, with decreases in both Ontario (-4.0%) and Alberta (-5.3%) accounting for 86% of the total decline across the country.
All four Atlantic Provinces had declines in September. Newfoundland and Labrador (-4.3%) experienced its second straight decrease, and Prince Edward Island (-10.1%), Nova Scotia (-1.5%) and New Brunswick (-3.8%) each offset gains made in August.
Sales in Saskatchewan (-4.8%) were down after two months of growth. Only four sales declines have been recorded in this province since August 2006. Sales in Manitoba (-0.2%) were relatively stable.
Two provinces mitigated the national decline in September. New motor vehicle sales in Quebec (+1.9%) grew for the second straight month, while sales growth in British Columbia (+0.5%) almost offset the small declines registered in August.
Nine provinces had declines in the number of new motor vehicles sold in the third quarter of 2007, with only Nova Scotia (+3.1%) registering an increase. The largest decline was in Prince Edward Island (-4.0%) after four consecutive quarters of growth.
The decline in Quebec (-3.9%) followed a 5.5% growth in the second quarter of 2007, the strongest quarterly growth since the third quarter of 2003. As for Ontario (-3.5%), it also followed a strong second quarter (+4.7%), the strongest quarterly growth since the fourth quarter of 2001.
Available on CANSIM: tables 079-0001 and 079-0002.
Definitions, data sources and methods: survey number 2402.
The September 2007 issue of New Motor Vehicle Sales (63-007-XWE, free) will be available soon.
Data on new motor vehicle sales for October will be released on December 17.
For more information or to order data, contact Client Services (toll-free 1-877-421-3067; 613-951-3549; retailinfo@statcan.gc.ca). To enquire about the concepts, methods or data quality of this release, contact Joseph Dunlavy (613-951-0193), Distributive Trades Division.