The forecast for the gross margin of used motor vehicle parts and accessories merchant wholesalers in Canada shows a slight downward trend from 38.3% in 2024 to 37.7% by 2028. The data suggests a consistent decline with an annual change ranging around -0.1% to -0.2% year-on-year. Therefore, over five years, the compound annual growth rate (CAGR) demonstrates a subtle contraction in margins. As of 2023, the gross margin stood somewhat higher, emphasizing the sustained decrease observed.
Future trends to watch include:
- Impact of economic recovery on demand for used vehicle parts.
- Changes in consumer preference impacting aftermarket sales.
- Technological advancements influencing efficiency and costs in the industry.
- Potential regulatory impacts on import/export and pricing structures.
