Average Price of New Vehicle in Canada Drops to $63,665
Despite the newly imposed tariffs and some ongoing supply chain challenges, the average price of new vehicles in Canada at the end of November was down 2.5% compared to 2024, settling at $63,665, according to new data from AutoTrader.
Demand for used vehicles has increased at the same time, pushing their average price up 2.2% to $35,494. Used vehicle stocks are expected to continue to grow but will remain limited until mid-to-late 2027, the report indicates.
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There’s also been a significant change in shopping habits. Due to the current economic climate, many Canadians are now prioritizing accessibility and value over luxury.
The three most popular new vehicles in online searches across the country were the Ford F-150, Toyota RAV4 and Honda Civic, in that order. The Ford Mustang, which is one of the most affordable sports cars on the market, also appears in the top five.
Meanwhile, luxury vehicle searches across the marketplace were down 11 percent year-over-year.
"After a year of significant change in the Canadian automotive market, it's no surprise that this year's data highlights affordability as a key driver of Canadians' vehicle choices,” says Thomas Krauße, Chief Marketing Officer at AutoTrader. “Even as shoppers browse aspirationally, what ultimately ends up in their driveways tends to be far more grounded."
The data also shows that electric vehicle searches made up 9 percent of all vehicle searches on AutoTrader, up from 8 percent in 2024. Interest among non-EV owners has continued to decline for the third consecutive year, with 42 percent saying they are open to buying an EV, down from 46 percent in 2024. Hybrids now lead the way with a consideration rate of 62%.
