June light vehicle sales even, a win considering the circumstances

The Canadian automotive market enjoyed 19 consecutive months of year-over-year increases prior to June — which came in even for the month, according to DesRosiers Automotive Consultants.

“June 2024 sales as estimated by DAC came in at 169,000 (units) — dead even with the June 2023 total,” said the firm. That is arguably satisfying when considering the many issues that have/are disrupting the market. DAC said the CDK software outage had undoubtedly impacted the market, as it has interrupted the sales process at numerous dealerships across Canada. 

Given the outage, DAC said the fact that June 2024 sales came in even feels like a win, with more subvented interest rates and incentives helping to maintain market momentum. As Andrew King, Managing Partner of DAC, put it in a statement: “The June SAAR of 1.72 million was a slight step up from May, which is a definitive positive given the DMS issue.”

However, he added that sales figures are “still far below industry highs, with June sales exceeding 200,000 units in both 2018 and 2017.”

From a year-to-date view, the market came in at an estimated 924,000 units. That is 10.4% over 2023’s six-month total. DAC called out a few performance-worthy mentions: 

  • General Motors continued to lead the market, overall, when it comes to volume; sales reached nearly 141,000 units during the first half of 2024.
  • Fiat enjoyed the strongest growth, in terms of percentage, due largely to its new Fiat 500e.
  • Volkswagen was top in terms of percentage gain, with sales up a noteworthy 53.9% to over 40,000 units.
  • Subaru enjoyed a sales gain of 43.4% YTD, reaching approximately 36,000 units.

“Hopefully July will see a rebound from the software related issues — with delayed sales being recovered quickly,” said DAC. “With interest rates starting a downward cycle and the inventory issues behind us, we will be watching closely to see how much momentum the market can hold on to as pent-up demand starts to wane.”

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