14 April 2010

Report from Canada: Auto Sales Keep Climbing

The Montreal Gazette

Ford leads in Canada with 29% boost

Ford of Canada was the top-selling vehicle manufacturer in the country for March and for the first quarter, the automaker says.

Ford sold 22,018 units, which represents an increase of 29.1 per cent over last March. Results were led by strong Taurus and F-150 sales, which saw an increase of 230.2 per cent and 51.8 per cent, respectively. First-quarter sales totalled 51,491, up 29.2 per cent compared to the same period last year.

"Sales crowns are nice to have but we remain focused on sustainable growth by delivering what customers want and value," David Mondragon, president and CEO of Ford of Canada, said Thursday. "Our results in March show that we were strong across the lineup in car, crossover and truck sales."

In March, overall car sales jumped 19.4 per cent, led by strong sales of the Ford Taurus and Fusion.

Total CUV and SUV sales increased 33.3 per cent with Canadian-built Ford Edge and Escape leading the way. And overall truck sales were up 32 per cent with Ford F-150 showing positive results compared to last year.

In addition, total Lincoln sales in March rose 109.5 per cent, with MKX sales up 118.5 per cent and MKZ sales increasing 97.4 per cent. With the introduction of the newest hybrid -- the 2011 Lincoln MKZ Hybrid -- Ford will have the most fuel-efficient luxury car in North America.

"Ford is committed to delivering the freshest showroom in the industry and our new products are driving our sales success," Mondragon said. "With new products like the 2011 Ford Fiesta, Edge and Super Duty, our lineup will have something for everyone."

Meanwhile, Toyota Canada Inc. was the No. 2 automaker, reporting a 24 per cent rise in year-over-year sales in March despite a massive global recall earlier in the year that saw 270,000 Canadian vehicles return to shops for service due to safety concerns ranging from sticky accelerator pedals to brakes.

Toyota saw car sales increase by 18 per cent while truck sales surpassed March 2009 by 36 per cent in Canada.

Propelled by sales of the Windsor-built Dodge Grand Caravan and Chrysler Town and Country minivans, Chrysler Canada --- which came in third -- enjoyed another strong sales month, with 19,470 units sold in March -- an increase of 22 per cent over the same month in 2009.

For the fourth consecutive month, Chrysler Canada retail sales posted an increase of greater than 20 per cent, with March retail sales gaining 36 per cent for the month, the automaker said.

"We made more records in March than Motown has in the last 10 years," said Reid Bigland, president and CEO of Chrysler Canada.

"Our Ram trucks, Dodge Grand Caravan, Dodge Journey and legendary Jeep Wrangler were all big hits last month, posting record sales."

Sales of the Ram Heavy Duty pickup helped propel the Ram division to its best March ever, with a gain of 101 per cent on sales of 4,841 units, the car- maker said.

The Dodge Grand Caravan and Chrysler Town and Country saw their combined sales rise by 43 per cent (5,774 units), also an all-time high for the month of March.

More than eight out of every 10 Canadian minivan shoppers chose a Chrysler minivan in March, Chrysler said.

While General Motors reported a 35.7 per cent jump in core brand sales last month, overall sales fell 22.9 per cent. "This puts GM's year-to-date market share at an all-time record low, at least for the modern history of the automotive sector, of only 14.7 per cent to the end of March," said Dennis DesRosiers, a Toronto-based auto analyst.

"You would have to go back to the period between 1915 and 1919 to find GM's market share below 15 per cent."

Industry sales last month in Canada were up 14.1 per cent to 145,428 units, said DesRosiers. "Canada had a great month in March, but ... sales are still tracking in the 1.55 million range and are not as healthy as they appear on the surface."

DesRosiers estimated it would take another two years before the industry fully recovers previous sales levels.

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