Canadian auto sales reached an estimated 178,000 units in April, down 3.9 per cent from 186,000 units in April 2025, according to DesRosiers Automotive Consultants (DAC).
Despite the year-over-year decline, the market continued to perform better than some had anticipated amid ongoing trade tensions and elevated fuel costs. The seasonally adjusted annual rate (SAAR) came in at 1.83 million units, slightly below the 1.85 million pace recorded in March.
“Given that the economy is now facing twin challenges from the trade situation and also near record high gas prices, the SAAR for the month of 1.83 million is maybe somewhat more palatable than it first appears — and is only slightly below the 1.85 SAAR we saw in March,” said Andrew King, Managing Partner at DAC, in a statement.
Month-over-month, April sales rose by roughly 9,000 units compared with March, breaking a pattern seen in 2025 when spring months posted nearly identical results.
The report also noted a slowdown in zero-emission vehicle sales following a stronger March, with some models recording declines. However, DAC expects renewed momentum in the EV segment in the coming months, particularly following the relaunch of Tesla’s Chinese-built Model 3 at a lower price point.
The broader market continues to navigate uncertainty tied to unresolved Canada-U.S. trade issues, even as the immediate impact of tariffs introduced in 2025 has eased. While year-over-year softness persists, the month-over-month gain could suggest underlying demand remains intact. Dealers may need to balance inventory carefully, particularly in EV segments where momentum has proven uneven but could shift quickly with pricing changes.
