Canada’s used wholesale vehicle market continued to soften in late February, according to the latest weekly analysis from Canadian Black Book.
The report, covering the week ending Feb. 28, shows overall wholesale values declining modestly as the market continues adjusting to rising supply and cautious buyer activity.
Recent Canadian Black Book data shows the market trending slightly downward, with used vehicle prices declining in recent weeks after brief gains earlier in the year. Car segments have generally posted modest declines, while truck and SUV segments have also softened, reflecting broader normalization after the unusually strong used-vehicle values seen during the pandemic.
Auction conditions remain mixed. Sell rates have varied significantly depending on inventory quality and seller expectations, with sellers often maintaining firm floor prices while buyers remain selective.
Supply entering the wholesale channel has been gradually increasing, though demand for clean, retail-ready vehicles continues to be strong. Canadian Black Book analysts said upstream channels, including fleets and other early remarketing sources, are still absorbing a portion of available inventory before it reaches traditional wholesale auctions.
At the retail level, used-vehicle listing prices have also been easing slightly. The average 14-day moving price for used vehicles on Canadian dealer lots recently slipped to about $36,800, based on roughly 205,000 listings nationwide.
Industry developments are also shaping the broader market. In its weekly update, Canadian Black Book noted ongoing product activity among automakers, including moves by OEMs to introduce new trims and adjust vehicle offerings as they respond to changing consumer demand and pricing pressures. These shifts, analysts say, could influence future used-vehicle values as new models and powertrain options enter the market.
Industry developments are also shaping the broader market. Canadian Black Book’s update points to several notable moves by automakers and policymakers. Ford Motor Co. has delayed its planned three-row electric SUVs, shifting its strategy toward smaller and more affordable EVs expected later this decade. At the same time, Honda Canada has faced backlash from dealers after proposing to cut margins on future EV models by as much as 44 per cent, prompting the Canadian Automobile Dealers Association to push for changes to the plan. Meanwhile, British Columbia is expanding EV infrastructure with plans for roughly 500 new public charging stations, part of the province’s goal of reaching 10,000 chargers by 2030.
In other news, the federal government has started issuing import permits to Chinese EV manufacturers. The permits allow 24,500 vehicles to enter Canada over a six-month period (until August 31st) on a “first come, first served” basis.
