TORONTO, Oct. 10, 2013 /CNW/ - Global car sales gained momentum during
the summer with a 6.5% year-over-year (y/y) increase in July and
August, up from a 4% advance in the first half of the year, according
to the latest Scotiabank Global Auto Report.
"The improvement reflects double-digit advances in the U.S. and Asia,
especially China - the world's largest and fastest-growing auto
market," said Carlos Gomes, Scotiabank's Senior Economist and Auto
Industry Specialist. "In Canada, car and light truck sales set a third
consecutive monthly record in September. In addition, used car prices
picked up in early October alongside the recent expiry of enhanced
incentives on several new vehicles, and will remain strong in coming
months due to ongoing tight supplies of pre-owned models"
Highlights in the report include:
Incentives on new cars and light trucks surged during the summer in
Canada, reducing new vehicle prices by 5% since the opening months of
2013. This represents the fifth consecutive year that automakers have
boosted incentives on new vehicles to spur sales.
Similar to Canada, a shortage of used cars and light trucks is also
being felt in the U.S. As a result, the number of pre-owned vehicles
imported into Canada from the U.S. has dropped sharply.
However, after several years of fewer vehicles coming off-lease in both
countries, some loosening will begin in 2014, as the new vehicle sales
recovery finally increases the supply of pre-owned models for the first
time since 2009.
Read the full Scotiabank Global Auto Report at http://www.scotiabank.com/ca/en/0,,3112,00.html.
Scotiabank provides clients with in-depth research into the factors
shaping the outlook for Canada and the global economy, including
macroeconomic developments, currency and capital market trends,
commodity and industry performance, as well as monetary, fiscal and
public policy issues.
Scotiabank is a leading multinational financial services provider and
Canada's most international bank. With more than 83,000 employees,
Scotiabank and its affiliates serve some 21 million customers in more
than 55 countries around the world. Scotiabank offers a broad range of
products and services including personal, commercial, corporate and
investment banking. In December 2012, Scotiabank became the first
Canadian bank to be named Global Bank of the Year and Bank of the Year
in the Americas by The Banker magazine, a Financial Times publication.
With assets of $743 billion (as at July 31, 2013), Scotiabank trades on
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please visit www.scotiabank.com.
For high-resolution video clips visit http://media.scotiabank.com/cdaen/multimedia/mc-videos.html. For more Scotiabank economic publications visit http://www.scotiabank.com/ca/en/0,,3112,00.html.
SOURCE: Scotiabank - Economic Reports
For further information:
Carlos Gomes, Scotiabank Economics, (416) 866-4735, firstname.lastname@example.org; or
Devinder Lamsar, Scotiabank Media Communications, (416) 933-1171, email@example.com.