Small SUVs are dominating market growth in Canada, reflecting what consumers are after.
That is according to DesRosiers Automotive Consultants’ latest update on segment sales — this one for the first half of 2024. At the segment level, they have observed a shift in the Canadian market that has increasingly become a “small SUV” market.
“The three segments that comprise the small SUV market together jumped more than five percentage points to 46.2% of total sales,” said Andrew King, Managing Partner at DAC, in a statement.
Overall, new light vehicle sales for the second quarter of the year came in at an estimated 6.3% ahead of 2023 figures, despite the impact that the CDK software breach had on dealerships at the end of June. And the first quarter of the year saw an estimated increase of 10.4%.
At the segment level telltale signs of small SUV interest was clear, with subcompact SUVs still outperforming the market — up 47.6% over the first half of 2023. It’s also worth noting that significant volume was added by a number of models. This includes the Hyundai Kona and Chevrolet Trax.
Compact SUVs also enjoyed growth, up a noteworthy 22.3%, which saw the segment gain more than 275,000 units through the first 6 months of 2024. However, large SUVs and luxury and compact luxury cars were down 20.8%, 28.6%, and 31.4% respectively. And overall, light trucks overall were up 12.2% in sales for the first half of the year, moving its share of the market to 86.1%.
“It is the Canadian consumer who drives the market and they are increasingly demanding small SUVs as their vehicle of choice,” said King in a statement. “While here at DAC we may pine for the perfect combination of practicality and performance represented by the Volvo 1800ES, the Mitsubishi Evo Wagon, or the DB5 Shooting Brake, (sadly) the consumer has taken the market in an alternate direction.”
