This is a best prospect industry sector for this country. Includes a market overview and trade data.
Last Published: 9/30/2019

Overview

Canada represents the second largest automotive market in North America. The overall value of Canadian automotive sector imports increased by 1 percent in 2018 for a total value of US$74.1 billion. Passenger vehicle imports increased by 5 percent, trucks and other vehicles for the transport of goods decreased by 11 percent, and buses and other public transport passenger vehicle imports increased by 26 percent. In 2018, Canadian imports of automotive parts, components, and systems totaled US$20.5 billion. Canadian automotive aftermarket is estimated at US$19 billion.

In 2018, 65 percent of the total value of Canadian automotive sector imports originated from the United States. The regulatory environment in Canada for the automotive sector is like that of the United States, with approximately 90 percent of the two countries’ road-safety regulations harmonized. In 2018, the total number of new light vehicle (passenger cars and light trucks) sales in Canada decreased to 1.98 million units, of which 40 percent were U.S. brands. Passenger cars sales decreased to 578 thousand units and light trucks sales increased to over 1.4 million units.

Electric vehicle sales are growing at a rapid rate. In 2018, total unit sales nearly doubled in comparison to the previous year reaching 37,000 units, of which 48.5 percent were battery electric (BEV) and the rest plug-in hybrid (PHEV).

Table: Canada Automotive Market Data (US$ Millions)

 

2016

2017

2018

2019 (Estimated)

Total Local Production

81,090

80,070

78,559

73,616

Total Exports

63,611

61,511

59,069

54,402

Total Imports

66,624

73,031

74,062

72,358

Imports from the US

44,130

47,317

47,521

47,664

Total Market Size

84,102

91,590

93,552

91,572

(total market size = (total local production + imports) - exports)

Leading Sub-Sectors

  • Motor Vehicles for Passenger Transportation, other than Buses/Public Transportation (US$29.9 billion)

  • Motor Vehicle Parts, excluding body, chassis, and engines (US$20.2 billion)

  • Motor Vehicles for Special Non-Transport Purposes (US$863 million)

  • Trailers and Other Wheeled Vehicles (US$2.4 billion)

  • Motorcycles and Mopeds (US$ 531 million)

 

Opportunities

In 2018, Canadian imports of buses and other public transport passenger vehicles increased by 2.6 percent, due to ongoing upgrades of public transportation. Other Canadian imports that have experienced increases in 2018, include: bumpers (12 percent), clutches (18 percent), drive-axles with differential (10 percent), and gearboxes (2 percent).


Major Upcoming Events/Trade Shows
Electric Vehicles Conference and Trade Show
https://emc-mec.ca/ev2019ve/
Montréal, Québec
May 6-9, 2019

Automotive Parts Manufacturers Association Annual Conference and Exhibition
https://apma.ca/apma-annual-conference-and-exhibition-2019/
Windsor, Ontario
June 12, 2019

Montréal International Auto Show
www.salonautomontreal.com/en/
Montréal, Québec
January 17-26, 2020

Canadian International Auto Show
www.autoshow.ca/
Toronto, Ontario
February 13-22, 2020

SelectUSA Manufacturing Forum at the Canadian International Auto Show
https://www.autoshow.ca/
Toronto, Ontario
February 13, 2020

Truck World
https://www.truckworld.ca/
Toronto, Ontario
April 16-18, 2020

Web Resources

Automotive Industries Association of Canada: www.aiacanada.com
Automotive Parts Manufacturers’ Association: www.apma.ca
Transport Canada: https://www.tc.gc.ca/en/transport-canada.html
Statistics Canada: www.statcan.gc.ca/start-debut-eng.html
DeRosiers Automotive Consultants: www.desrosiers.ca
FleetCarma: www.fleetcarma.com

For additional information on this sector, please contact Commercial Specialist Stefan Popescu at Stefan.Popescu@trade.gov, Tel: (416) 595-5412 Ext. 223


 

 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.