Sales hot in July

Canadian consumers bought a record number of light vehicles in July, up 7.3% to 158,993 units, surpassing the previous peak of 154,830 units in July 2005. Contrary to the trend in previous months, in July car sales rose 11.8% to 70,819 units, while light trucks increased 3.9% to 88,174 units.

Japanese brand sales altogether soared 23.0% in July to 53,215 units. Car sales jumped 18.6% to 29,521 units, while light trucks shot up 29.0% to 23,694 units. Among JAMA Canada members, Nissan Canada recorded the highest growth, up 53.8% compared to July 2012. Honda Canada (+35.4%), Subaru Canada (+37.6%), Mitsubishi Motor Sales Canada (+16.4%) and Toyota Canada (+12.1%) were all ahead with double digit gains. Mazda Canada recorded a 4.0% gain as truck sales ballooned 37.6% in July.

JAN – JULY (YTD)

The Canadian light vehicle market has grown 2.9% in the past seven months to 1,042,660 units based on robust demand for light trucks. Car sales were down marginally to 462,518 units, while light truck sales climbed 5.6% to 580,142 units.

JAMA Canada members as a group recorded a sales gain of 3.6% for the YTD to 337,115 units – which pushed market share up slightly to 32.3% for the YTD. Among individual companies, Subaru is the growth leader, up 20.2% to a record 20,508 units. Honda (+10.5%), Mitsubishi (+9.6%) and Toyota (+0.9%) were all up over last year, driven by robust sales of light trucks. Nissan was basically flat overall, although truck sales grew 11.6% in 2013. And Mazda sales slipped 3.2%, but truck sales were up 8.5% compared to 2012.

Sales – July  2013

Source: Global Automakers of Canada / JAMA Canada members

Record sales in Canada led by light trucks

June vehicle sales in Canada hit an all-time record for the month at 171,608 units, up 1.3% over June 2012. The gain was driven entirely by light truck sales which rose 6.7% to 96,587 units, while car sales dropped 4.9% to 75,021 units.

Japanese brand sales in June fell 2.8% overall to 53,396 units compared to almost 55,000 in June 2012. While car sales slipped 10.2% to 28,726 units, light truck sales rose 7.4% 24,670 units in June. Among JAMA Canada members, Subaru and Honda were the growth leaders up 27.1% and 10.4% respectively.

YTD – 1st half of 2013:

Sales during the first six months of 2013 have hit a new record of 883,667 units, up 2.2% over the previous record set last year. Again, light trucks have led the way as sales rose 5.9% to 491,968 units, while passenger car sales have dropped 2.2% to 391,699 units compared to last year.

Japanese brand sales for the first half of 2013 were marginally ahead, up 0.6% to 283,900 units on mixed results among JAMA Canada members. Subaru (+17.4%), Mitsubishi (+8.7%) and Honda (+6.6%) were all up YOY, while others were down in single digit declines. Japanese market share stands at 32.1% down from 32.6% in 2012.

Sales – June 2013

Source: Global Automakers of Canada / JAMA Canada members

TORONTO, July 2, 2013 /CNW/ – The Japan Automobile Manufacturers Association of Canada (JAMA Canada) continues to be encouraged by the efforts of the Canadian and Japanese governments to pursue an Economic Partnership Agreement (EPA) and looks forward to a successful third round of negotiations during the week of July 8 in Tokyo, Japan.

Commenting on the upcoming discussions, Jerry Chenkin, JAMA Canada’s Chairman said: "Canada and Japan have a long history of harmonious relations, largely complementary economies and there are tremendous benefits for both countries if a deal can be reached. We urge the negotiating teams to build on this history, accelerate the discussions and complete the EPA as soon as possible, particularly given the focus of both countries on larger, more complicated negotiations including the Trans-Pacific Partnership."

One third of Japanese vehicles sold in Canada are imported from Japan – these include some of the most technologically advanced vehicles offering safe, reliable and more environmentally friendly transportation that would benefit from eliminating Canada’s 6.1% import tariff.

"The successful ratification of the Canada-Japan EPA will mean that our members can bring new, affordable, high-tech, fuel-efficient vehicles to Canada. That means more choice for Canadian drivers," said Mr. Chenkin.

Apart from a level playing field for all automakers, other benefits for the Canadian economy and Canadian consumers include:

• GDP gains from a Canada-Japan EPA would be as much as US$ 9 billion for Canada and as much as US$ 4.9 billion for Japan, according to the 2011 Joint Study.
  
• The reduction of the tariff by the EPA would add further impetus for increased trade and new business opportunities between Canada and Japan.
• As a comprehensive free trade negotiation, the EPA goes far beyond tariffs by addressing non-tariff trade barriers, technical standards, intellectual property rights and other issues, encouraging cross-border investment and creating well-paid skilled jobs for Canadians.
  

   

“I look forward to a busy year as JAMA Canada continues our focus on trade initiatives, particularly the bilateral Canada-Japan EPA. We are urging the Canadian and Japanese Governments to accelerate the bilateral discussions for an early completion which will benefit both Canada and Japan”, said Mr. Chenkin.

 
President and Chief Executive Officer, Honda Canada, Mr. Chenkin has been with Honda for 38 years. He has served in a number of different leadership positions in Honda before being appointed as the President and Chief Executive Officer on April 1st this year.

JAMA Canada was established in 1984 to enhance understanding on trade and economic issues in the automotive sector and to promote closer cooperation between Canada and Japan. While the auto industry in Canada has changed dramatically over the past twenty years, we continue to pursue our original mandate.

Japanese brands accelerate May sales in Canada

Light vehicle sales in May were up 5.3% in May to 185,040 units, the second consecutive month of higher sales although less robust than the 8.9% gain in April. Light truck sales led the way with a rise of 7.9% to 98,993 units, while car sales rose 2.4% to 86,047 units.

Japanese sales in May almost doubled the market jumping 10.1% to 60,359 units. Among JAMA Canada members results were mixed. Subaru Canada and Honda Canada were the growth leaders up 28.9% and 22.2% respectively. Mitsubishi Canada and Toyota Canada improved sales with double digit gains, up 16.5% and 12.3% respectively. All JAMA Canada members made gains in light truck sales over May 2012, as combined results jumped 18.4% to 26,270 units. Car sales rose a modest 4.4% in May to 34,089 units.

Jan – May YTD:

Sales for the first five months of 2013 in Canada have gained 2.4% to 712,059 units over last year. Light trucks account entirely for this improvement as truck sales increased 5.7% to 395,331 units, while passenger car sales slipped 1.5% to 316,728 units.

Japanese brand sales were up 1.5% for the YTD to 230,504 units, finally in the black after 5 months. However, market share has dipped slightly to 32.4% through the end of May. 

Sales – May 2013

Source: Global Automakers of Canada / JAMA Canada members

Sales Rebound in April

After four consecutive months of lower YOY retail deliveries, light vehicle sales across Canada in April surged 8.9% over last year to 171,807 units, the second best showing for this month since the peak in April 2008. Light truck sales jumped 16.3% in April to 94,701 units, while passenger car sales improved marginally up 1.0% to 77,106 units compared to 2012.

Among JAMA Canada members, several posted double digit gains: Honda Canada (including Acura) sold 15,343 units, up 19.9%; Toyota Canada (including Lexus & Scion) sold 20,089 units, up 7.2%; Nissan Canada (including Infiniti) sold 8,078 units up 16.8%; Subaru Canada sold 3,562 units, up 29.4%; and Mitsubishi Motor Sales Canada sold 2,265 units, up 73.4% compared to April 2012.

JAN – APR 2013 (YTD):

With the boost from April deliveries, sales results for the YTD in Canada were in positive territory, up 1.4% to 527,019 units, which represents a SAAR of 1.72 million units, up from 1.66 million in the first quarter of 2013 according to a report from Scotia Economics. Light trucks continue to outperform with sales up 5.0% to 296,338 units, and car sales slipped 2.9% down to 230,681 units for the first four months of 2013.

Japanese brand sales for the YTD fell 1.3% to 170,145 units, which reduced their market share to 32.2% down 1 point from 2012. While passenger car sales among JAMA Canada members were soft, down 7.4% YOY to 92,870 units, deliveries of light trucks were buoyant, rising 7.2% to 77,275 units for the same period. Among individual companies, Subaru and Mitsubishi were up with double digit gains, while Honda and Mazda were relatively unchanged with small increases. Toyota, Nissan and Suzuki were all down in overall sales compared to 2012, although both Toyota and Nissan sales of light trucks were up 8.9% and 7.4% respectively.

Sales – April 2013

Source: AIAMC / JAMA Canada members

The Japan Automobile Manufacturers Association of Canada (JAMA Canada) enthusiastically welcomes and supports the participation of Japan in the Trans Pacific Partnership (TPP) negotiations.

Moreover, JAMA Canada endorses the March 15th statement of JAMA Chairman, Mr. Akio Toyoda, that the establishment of a high level economic partnership in the TPP would, among other benefits, promote liberalized trade and provide common rules across a variety of sectors such as investment, trade facilitation and intellectual property rights.

Recognizing that Canada and Japan have also begun bilateral negotiations towards a comprehensive EPA, we are encouraged by this opportunity for Japan to join the TPP, and along with Canada, Mexico and other TPP members to pursue a high level, ambitious agreement for expanding trade, investment and business opportunities in the Asia Pacific region.

With parallel negotiations in the EPA and the TPP, we encourage governments to undertake vigorous efforts towards an early conclusion in both of these important initiatives.

Car sales slip as light trucks climb in March

New light vehicle sales dipped slightly in March compared to last year, down 0.7% to 156,680 units. However, as some analysts pointed out, March 2012 sales set a new sales record, so March 2013 results were actually quite good overall. Notably light truck sales continued to be buoyant, leading the way with sales up 2.8% in March to 86,473 units, while passenger car sales fell 4.7% to 70,207 units.

For all Japanese brands combined, sales in March slipped 1.6% to 52,751 units on mixed results among individual JAMA Canada members. And like the overall market, car sales dropped 5.7% to 29,196 units, while light truck sales rose 4.1% in March compared to last year. Among members, Subaru, Honda and Mazda sales were all up year over year in March led by Subaru with an 11.7% gain. Other highlights include: Honda’s car sales jumped 17.9%, while Toyota’s retail truck deliveries surged 22.9% in March, Mazda’s car sales surged 16.1% and Subaru and Mitsubishi recorded rising truck sales, up 52.1% and 6.1% respectively.

2013 – 1Q results:

For the first quarter of 2013, new light vehicle sales in Canada were down 1.9% overall to 355,212 units. Passenger car sales fell 4.7% to 153,575 units, while light truck sales rose marginally 0.4% to 201,637 units.

Japanese automakers as a group recorded a sales decline of 7.0% to 113,843 units through the end of the first quarter, which clipped market share down to 32.0% YTD.

Sales – March 2013

Source: AIAMC / JAMA Canada members

JAMA Canada applauds measures in the 2013 Federal Budget that will support manufacturing and trade including the extension of the accelerated capital cost allowance on new investment in production machinery and equipment, $200 million for a new Advanced Manufacturing Fund in Ontario, as well as economic and security initiatives to enhance perimeter security and facilitate legitimate trade and travel under the Canada-United States Beyond the Border Action Plan.

JAMA Comment on the Japanese GovernmentAnnouncement to Join the Trans-Pacific Partnership Agreement Talks

Akio Toyoda, Chairman
Japan Automobile Manufacturers Association, Inc.

 

JAMA welcomes today’s announcement by theGovernment of Japan to participate in negotiations toward a Trans-PacificPartnership (TPP) Agreement.

 For decades the Japanese automobileindustry has engaged in constructive and extensive business activities in theAsia-Pacific region. 

 JAMA believes that the establishment of highlevel economic partnership would, among other benefits, promote free trade andprovide common rules across a variety of sectors such as investment, tradefacilitation and intellectual property rights which generally advance businessopportunities in the region.

We look forward to sustained and vigorous efforts onthe part of the Japanese government towards an early realization of anagreement which can truly benefit the automobile industry.

Mixed sales results in February

Sales of new light vehicles in Canada continued to slip in February as total deliveries dropped 3.3% to 103,226 units. While the annualized rate dipped again to about 1.63 million units from 1.7 million in January, analysts suggest sales were fairly good in spite of the inclement wintery weather in February.

Combined Japanese brand sales fell 10.2% in February to 32,586 units. Among Japanese automakers, only Mazda Canada was up in February compared to last year – a gain of 2.1% to 4,833 units, while Subaru was largely unchanged. However, there were some bright spots:  Infiniti brand sales jumped 27.2% in February, Mazda truck sales soared 43.5%, Honda car sales rose 4.6%, and Subaru truck sales gained 30.2% in the month.

For the year to date: overall light vehicle sales fell 2.8% during the first two months to 198,532 units. Passenger car sales were off 4.7% while light truck sales slipped 1.4% compared to 2012.

JAMA Canada members’ sales dropped 11.2% during the same period to 61,092 units, representing a market share of 30.8% for the first two months of 2013. 

Sales – February 2013

Source: AIAMC / JAMA Canada members

January 2013 light vehicle sales in Canada

While January sales are typically slow compared to other months of the year, new light vehicle sales in Canada fell 2.2% over January last year to 95,306 units including 39,009 passenger cars (down 5.2%) and 56,297 (down 0.1%) light trucks. DesRosiers Automotive Consultants calculated that the SAAR (seasonally adjusted selling rate) in January was relatively robust at 1.7 million units estimated for 2013.

Sales of Japanese brand vehicles dropped 12.3% to 28,506 units, as car sales declined 16.2% and light trucks fell 7.0% in January. However, Japanese vehicle sales last year were quite strong in January 2012 as the recovery from the 2011 natural disasters in Japan and Thailand was in full swing.

Among JAMA Canada members Mazda Canada recorded slightly higher light vehicle sales compared to January 2012. At the same time, luxury brand sales among Japanese automakers were quite robust: Acura up 40.7%; Infiniti up 42.7% and Lexus up 0.6% compared to the previous year.

Sales – January 2013

Source: AIAMC / JAMA Canada members

Sales retreat in December, but outperform the market in 2012

In December, sales of new vehicles actually dropped from the same month last year, down 4.9% to 108,931 units.

Japanese automakers as a group reported lower sales down 6.4% to 38,725 cars and light trucks, although Honda and Subaru were up 19.3% and 12.9% respectively compared to December 2011.

2012 YTD Results:

Light vehicle sales in Canada reached their 2nd highest level in 2012 at 1.67 million vehicles, slightly lower than the peak of 1.7 million units set a decade ago in 2002. Overall sales rose 5.7% to 1,675,675 as a result of a number of factors including pent-up demand through the gradual recovery from the slump in 2008 & 2009, as well as a rash of new models and generous incentive programs combined with low-interest credit.

Sales of Japanese brand vehicles in 2012 recovered from the natural disasters in 2011 with a total gain of 11.9% to 550,735 units. While both car and truck sales grew to the same extent, sales of vehicles imported from Japan rose 12.6% to 189,811 units, while those built in North America increased 11.5% to 360,924 units. Having outperformed the overall market in Canada, Japanese brand market share in Canada rose almost 2 points to 32.9% in 2012.

Among JAMA Canada members, Honda Canada was the growth leader in 2012, up 20.8% to 148,712 units, while Toyota Canada remained the top seller with a gain of 18.4% to 192,058 units. Subaru Canada set a new sales record in 2012, up 14.9% to 31,004 units. Mazda Canada recorded a small sales increase of 3.5% to 71,638 units in 2012, while Nissan Canada sales slipped 2.9% to 82,194 units. Mitsubishi Motor Sales of Canada had mixed results as car sales rose 9.2% but light truck sales were down 11.4% in 2012. Suzuki Canada sales slipped 3.0% in 2012 to 5,458 units.

Sales – December 2012

Source: AIAMC / JAMA Canada members