Canadian new light-vehicle sales posted a stronger year-over-year gain in August, rising an estimated 5.4 per cent as the market extended its growth streak to three consecutive months.
DesRosiers Automotive Consultants (DAC) estimates Canadians purchased approximately 168,000 new light vehicles during the month, compared with 160,000 in August 2025.
The increase was considerably stronger than July’s 0.5 per cent year-over-year gain and came against a relatively weak August 2025 comparable.
“The market in August is still a ways off the highs in excess of 180 thousand units consistently seen in August during the 2017-2019 period, but given the turmoil and trade issues facing the economy it was certainly a solid performance,” said Andrew King, managing partner at DAC.
August marked the third consecutive month in which Canadian sales increased from year-earlier levels, providing another indication that the market has regained some stability after a more difficult start to 2026.
The seasonally adjusted annual rate of sales, or SAAR, came in at 1.86 million units. While that was slightly lower than July, DAC noted that it remains within the range recorded during the past six months.
There were relatively few major shifts among individual automakers during August, with DAC reporting that corporate market shares remained generally stable.
Battery electric vehicle sales received some additional support during the month. DAC pointed to continued strength for Tesla’s Model 3, along with strong performances from several other models, as providing a lift to the BEV segment.
The August increase nevertheless needs to be viewed against the market’s longer-term benchmarks. Sales remain below the levels routinely recorded before the pandemic, when August volumes exceeded 180,000 units between 2017 and 2019.
September may also present a more difficult year-over-year comparison than August.
