Welcome to Canadian Black Book’s – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:
- May 2019 Used Vehicle Retention Index Hits Another All-time High
- US Tariffs on Mexican Goods Would Have Effects in the Canadian Auto Sector – By: Brian Murphy
- Canadian Black Book Investing to Break Down Automotive Online Behaviour – By: Cole Reiken
- Canadian Black Book Partners With Borrowell Canada for Online Credit Score App
The Canadian Black Book Used Vehicle Retention Index hit an all-time record high for May 2019 at 106. This is the highest level the index has reached, since the index tracking of two to six year-old vehicle values started in January 2005. Across the industry and the twenty-one vehicle segments tracked by Canadian Black Book, used values have never been stronger.
- The Compact Car segment has helped the boost May’s index along to this high level by posting a record high mark of 114, a gain of 6.5 points from last year and 1.7 points from last month. Perhaps higher gas prices in May helped elevate demand for these vehicles last month.
- Sub-Compact car were another category to post impressive gains. The smallest car size segment is up approximately 1 point from last month but up an impressive 7.4 points versus last year.
- Mid-size Crossover/SUV has shown a significant lift of 2.1 points from last month, once again demonstrating how hot this in-demand segment is. Full size cars, although down from last year by just over 3 points, are up this month by 1.3 points.
- Some notable segment declines for May include the Luxury Car category, which is down 3.3 points from May of last year and down just over half a point from last month. The Prestige Luxury Cars are down by almost five points from last year, the biggest decliners of all segments. Small Pickup trucks and Sporty Cars are down 0.7 points and 0.4 points respectively.
- With rising levels of supply on both sides of the border it remains our expectation that values will slow down. However, with a continued fairly weak Canadian dollar, the shipping of used cars to the U.S. market remains a very profitable enterprise and helps to keep Canadian values high.