TORONTO, ON - January 27, 2016 /CNW/ - Canadian auto sales climbed a stronger-than-expected 3% last year to a record 1.9 million units and are forecast to be largely flat in 2016, according to the Scotiabank Global Auto Report released today.
"Car and light truck sales will continue to be supported by low interest rates and stimulative financial conditions around the world," said Carlos Gomes, Senior Economist and Auto Industry Specialist at Scotiabank. "Economic activity and demand for new vehicles will continue to be buoyed by the strongest advance in Canadian non-resource exports since the new millennium, as well as by strengthening U.S. demand and a currency which recently fell below 70 cents (US) for the first time since early 2003.
"Diverging trends between the industrial heartland and commodity-producing regions are expected to balance each other out in 2016, keeping volumes unchanged. Stronger employment growth and economic activity in the export-reliant manufacturing provinces will lift sales in these markets, but deteriorating fundamentals and weakening demographic and income trends will continue to pressure volumes in other regions."
Other highlights from the report include:
Read the full Scotiabank Global Auto Report online at:
http://www.scotiabank.com/ca/en/0,,3112,00.html.
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