Canada Automotive Sales Rise 1.8% to 162,000 in October

Canada's automotive market recorded another month of year-over-year growth in October 2026, with estimated sales reaching 162,000 units, according to DesRosiers Automotive Consultants (DAC). Announced on November 4, the preliminary figure represents a 1.8% increase compared with the 159,000 units sold during October 2025. The latest result benefited from one additional selling day compared with the same month last year. Despite ongoing tariff and counter-tariff pressures, the market maintained its positive momentum, extending its growth streak to five consecutive months and indicating a notable improvement from the declines recorded earlier in the year.

The Canadian market's Seasonally Adjusted Annual Rate (SAAR) also strengthened considerably in October, climbing to 1.98 million units. This marked the highest SAAR recorded since February 2026, reflecting an improvement in the market's overall sales pace. The increase came despite the continuing challenges associated with tariffs and counter-tariffs, which have remained part of the broader automotive market environment. October's performance therefore represented another positive development for the Canadian automotive industry, with both year-over-year sales growth and the higher annualized sales rate contributing to the latest improvement.

DAC highlighted considerable differences in individual brand performance during October. While several automotive brands experienced double-digit sales declines, their weaker results were offset by remarkable gains recorded by other manufacturers. The consultancy also noted that one original equipment manufacturer (OEM) achieved its highest-ever monthly sales in Canada during the period. Although DAC did not identify the manufacturer in its announcement, the result illustrated the contrasting performance across brands and the significant gains achieved by some participants in the Canadian market.

Andrew King, Managing Partner of DAC, said the market had made substantial progress toward recovering its earlier losses as 2026 approached its final two months. He noted that the year-to-date decline had narrowed to just 0.5%, representing a considerable improvement from the position at the end of May. At that point, the market had experienced eight consecutive months of year-over-year declines and was running 3.7% below the previous year's level. King's comments highlighted the change in market direction, with five consecutive months of growth helping reduce the cumulative year-to-date shortfall.

Industry Impact & Outlook

October's performance indicates a meaningful improvement in Canada's automotive market after a prolonged period of year-over-year declines. The narrowing of the year-to-date contraction from 3.7% at the end of May to 0.5% by October highlights the significance of the recent five-month growth streak. The 1.98 million SAAR also provides evidence of a stronger sales pace than in the preceding months since February. However, the contrasting results among individual brands demonstrate that the recovery has not been uniform across manufacturers. With two months remaining in 2026, the market's final performance will determine how closely annual sales approach the previous year's level.

Frequently Asked Questions

How many vehicles were sold in Canada in October 2026?
Canada recorded an estimated 162,000 automotive sales in October 2026, representing a 1.8% increase compared with the same month in 2025. DesRosiers Automotive Consultants announced the estimate on November 4. October 2025 had recorded 159,000 units, meaning the latest result represented an increase of approximately 3,000 units. The comparison also needs to account for one additional selling day in October 2026 compared with October 2025, a factor identified in DAC's announcement.

What was Canada's automotive SAAR in October 2026?
Canada's automotive Seasonally Adjusted Annual Rate (SAAR) reached 1.98 million units in October 2026, its highest level since February 2026. The SAAR is an annualized measure of the market's sales pace after seasonal adjustments. Its increase provided another indication of improving market momentum during October. The higher rate accompanied a 1.8% year-over-year increase in estimated vehicle sales, despite the ongoing tariff and counter-tariff pressures affecting the broader automotive market.

How many consecutive months of automotive sales growth did Canada record?
Canada extended its year-over-year automotive sales growth streak to five consecutive months in October 2026, according to DesRosiers Automotive Consultants. The latest increase followed a difficult period during which the market experienced eight straight monthly declines by the end of May. The five-month improvement helped narrow the cumulative year-to-date sales decline to 0.5%. This represented a considerable change from the 3.7% year-over-year contraction recorded at the end of May.

How did Canadian automotive brands perform in October 2026?
Brand-level automotive sales performance in Canada varied considerably during October 2026, with some manufacturers recording double-digit declines while others achieved substantial gains. DesRosiers Automotive Consultants highlighted these contrasting results in its October market announcement. The consultancy also reported that one original equipment manufacturer achieved its best-ever monthly sales performance in Canada. However, the announcement did not identify the manufacturer or provide individual brand sales figures, so the specific companies and their respective growth rates cannot be established from the reported information.

What did Andrew King say about Canada's automotive market in 2026?
Andrew King, Managing Partner of DesRosiers Automotive Consultants, highlighted the significant improvement in Canada's automotive market as 2026 approached its final two months. He noted that the year-to-date decline had narrowed to 0.5%, compared with a 3.7% decline at the end of May. At that earlier point, the market had recorded eight consecutive monthly declines. King used these figures to emphasize the change in market direction following five consecutive months of year-over-year sales growth.

How did tariffs and counter-tariffs affect Canada's October 2026 automotive sales?
Canada's automotive market recorded year-over-year sales growth in October 2026 despite the continuing presence of tariffs and counter-tariffs. DesRosiers Automotive Consultants specifically highlighted the market's resilience in the face of these trade-related pressures. Estimated sales increased 1.8% to 162,000 units, while the SAAR climbed to 1.98 million. However, DAC's announcement did not quantify the direct impact of tariffs and counter-tariffs on vehicle sales or attribute specific brand-level results to these measures.