Canadian wholesale values continue to surge this week while the latest Canadian Black Book Used Vehicle Retention Index set a new record for April 2021, according to CBB’s weekly automotive report.
That report covers the week ending on May 11, 2021, and shows that the used vehicle wholesale market experienced an overall weekly increase of 0.46% — down slightly compared to the prior week (+0.48%). In fact, both segments were slightly down from last week, but increases were still above average this week. However, weekly increases from the car and the truck/SUV segments were well above average in terms of week-over-week price increases (+0.49% for cars and +0.43% for trucks/SUVs).
“The Canadian wholesale market strengthened further this week. While still in positive territory, the increases seen this week were similar to the previous week,” said CBB, adding that “Supply remains low with extremely high demand on both sides of the border. Upstream channels continue to tap supply before it can be available to wholesale markets.”
Most car segments showed a weekly increase, with sports cars (+1.03%) leading the car segments and the market overall. This was followed by near luxury cars (+1.00%) and mid-size cars (+0.70%). The prestige luxury car category (-0.27%) and full-size cars (-0.09%) were both down and were the only two segments showing a weekly decline in prices.
On the truck/SUV segment, full-size luxury crossover/SUVs led the way with a weekly increase of 0.96%, followed by compact luxury crossover/SUVs (+0.68%), mid-size crossover/SUVs (+0.63%), and full-size crossovers/SUVs (+0.59%). Compact crossover/SUVs were down 0.02% and minivans declined 0.04% — both had the weakest performances this week from the truck/SUV segment.
As for the Canadian Black Book Used Vehicle Retention Index, it managed an all-time record in April 2021 when the index reached 121.3 points — eclipsing the previous record from last month by 2.2 points. The index tracks the retained value performance of two- to six-year-old vehicles
“This is the tenth consecutive month of increases and eighth consecutive month with an all-time record high,” said CBB. “Year-over-year, the Index is up 17% from 103.7 points in April of 2020, which is the largest year-over-year increase in the history of the Index. For April 2021, all segments that Canadian Black Book measures saw increases.”
You can view the full report here.