According to JETRO's latest report, Canada's 2024 new car sales market showed strong recovery. Statistics from research firm DesRosiers Automotive Consultants (DAC) revealed that new car sales increased 8.2% year-on-year to 1,859,549 units. This reflects market normalization after escaping from supply disruptions caused by COVID-19 and semiconductor shortages. The fourth quarter saw particularly strong sales growth due to rush demand before Quebec's subsidy cuts.
By manufacturer, General Motors (GM) maintained its lead with 294,315 units sold (up 11.9%), followed by Ford in second place with 278,571 units (up 16.2%), and Toyota holding third with 238,933 units (up 5.0%). Combined sales from six Japanese manufacturers (Toyota, Honda, Nissan, Mazda, Subaru, Mitsubishi) increased 10.8% to 656,907 units, with their market share rising slightly from 34.5% to 35.3%. By segment, light trucks (pickup trucks, SUVs, crossover SUVs) increased 10.1% to 1,610,847 units, accounting for a record-high 86.6% of total sales.
However, production challenges emerged. 2024 production decreased 10.0% year-on-year to 1,374,041 units, affected by the transition to electric vehicle (EV) production and production cuts by some manufacturers. Toyota maintained its lead with 533,584 units (up 1.5%), while Honda ranked second with 420,550 units (up 12.3%), and Stellantis third with 192,828 units (down 37%). Notably, due to significant production cuts by non-Japanese manufacturers, the production share of the two Japanese companies Toyota and Honda expanded substantially from 59.0% to 69.4%. Canada's share of North American production shrank from 9.7% to 8.6%, raising concerns about declining competitiveness against the United States and Mexico.
JETRO Toronto Office analyzes that while Canada's automotive market is on a recovery trajectory in sales, it is undergoing structural transformation in production.