Gas consumption pulled down by more ZEVs in the fleet

DesRosiers Automotive Consultants has often used gasoline consumption as one of the variables through which it can judge the strength of vehicle usage and aftermarket demand in Canada.

In its latest report, they found gasoline consumption was down 3.5% in the first quarter of 2025 compared to the same period last year. However, they also noted that Q1 2025 results were above pre-pandemic levels and above the levels in 2020, 2021, and 2022.

According to DAC, structurally, gasoline consumption is being pulled down by two variables: more zero-emission vehicles in the fleet, and a slowly rising efficiency in the Internal Combustion Engine portion of the fleet. Andrew King, Managing Partner at DAC, said ZEVs “still continued to grow their share of the overall light vehicle fleet despite the collapse in their sales for the first quarter of 2025.”

“In addition, the slight decline in gas consumption is to be expected in line with a slowing economy as trade related issues start to impact employment levels,” he said in a statement. “Indeed with 82 per cent of Canadians using a light vehicle to get to work, change in employment is one of the key variables we will be monitoring this summer.”

Gasoline consumption is among the elements factored into DAC’s kilometres driven forecast and its forecasts of market size.

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