The Canadian passenger car market demonstrated a declining trend from 2013 to 2023, with new registrations falling from 760.92 thousand units in 2013 to 527.69 thousand units in 2023, showing an overall contraction. The year-on-year variations from 2022 to 2023 showed a decrease of 2.01%, following prior year increases of 3.15% in 2022 and 12.16% in 2021. Over the past five years, the average annual decline rate (CAGR) stood at -1.81%.

Moving forward, the forecast data reveal a continuation of this downward trend, predicting new registrations to drop to 469.65 thousand units by 2028, translating into an average annual contraction of 1.78% over the next five years.

Key future trends to watch for:

Potential shifts in consumer preference towards electric and hybrid vehicles.
Impact of government policies and incentives aimed at promoting sustainable transportation.
Technological advancements and their adoption in new vehicle models.
Economic factors and their influence on consumer purchasing power and behavior.