Economics

Cars and parts drive retail sales bump in August: StatCan

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FILE: New cars are lined up at dealership on Friday October 11, 2024 in Levis Que. THE CANADIAN PRESS/Jacques Boissinot

Motor vehicles and parts led retail sales increases for the month of August, according to new data from Statistics Canada.

For a third consecutive month, motor vehicle and parts dealerships showed an increase of 1.8 per cent. It was led by higher sales at new car dealers at a 2.3 per cent bump, followed by used car dealerships, which saw sales grow by 1.5 per cent.

While auto sellers pressed the acceleration pedal in August, sales at gas stations and fuel vendors continued downhill with a decrease of two per cent.

Overall retail sales in Canada rose one per cent to $70.4B in August.

Five provinces also experienced retail sales boosts for August 2025. Ontario had the biggest increase at 1.2 per cent, driven by motor vehicle and parts dealers. The Toronto area saw sales growth at 2.4 per cent. In Quebec, retail trade rose by 1.8 per cent, with the Montreal area leading the retail sales charge at 2.3 per cent. Quebec has seen retail trade increases for the last three months.

Core retail sales bounced back by 1.1 per cent following a decline in July. In August, higher sales at clothing, clothing accessories, shoes, jewelry, luggage, and leather goods retailers bumped up 3.2 per cent. Statistics Canada notes the largest core sales decrease came from building material and garden equipment and supplies dealers at 0.3 per cent.