Canada’s new vehicle market is showing signs of steady recovery, with September marking the fourth consecutive month of year-over-year sales growth.
According to DesRosiers Automotive Consultants (DAC), an estimated 168,000 new vehicles were sold in September, up 3.4 per cent from approximately 163,000 units a year earlier. Despite the recent gains, year-to-date sales remain 0.7 per cent below 2025 levels.
“The market has shown remarkable stability in recent months with the SAAR for September of 1.91 million staying in its recent range, when the 1 extra selling day in September 2026 is taken into account,” said Andrew King, Managing Partner at DAC, in a statement. “While the majority of vehicle companies are still negative YTD there have been some notable hopeful signs in the summer sales gains.”
The seasonally adjusted annualized sales rate (SAAR) reached 1.91 million units, remaining within its recent range despite economic pressures, including tariffs and elevated fuel prices.
Among higher-volume brands, Volkswagen led year-to-date growth with sales increasing 15.1 per cent to approximately 74,000 units. Toyota followed with a 6.8 per cent increase, while Stellantis recorded a 3.9 per cent gain.
The zero-emission vehicle market also showed strength during the third quarter. Tesla’s Model 3 benefited from shipments arriving from China and aggressive Canadian pricing, while the Chevrolet Bolt gained sales momentum through September.
Looking ahead, DAC identified two developments worth watching: whether consumers accelerate ZEV purchases ahead of declining government incentives at year-end and whether Chinese automotive brands formally enter the Canadian market.
With a comparatively strong fourth quarter in 2025, maintaining the current sales growth streak could prove challenging.
