New Vehicle sales see big boost on P.E.I

By Bo Ford

Car dealers on P.E.I. are very happy with the recent release of new motor vehicle sales on P.E.I over the past year.

Statistics Canada released numbers earlier this week that show car sales on P.E.I are up 20 per cent from February 2011 to February 2012.

President of the P.E.I. Automobile Dealers Association Peter MacDonald said it is hard to pin point the biggest reason in the increase.

“I do think one of the big things is the increase in inventories in some of the Japanese manufacturers. The large inventory helped with their sales.”

MacDonald said the inventory has been low due to some recent disasters and now the inventory is there.

“There was some pent-up demand from some of the manufactures because they couldn’t get inventory for a lot of last year. Now that those inventories are now on the lots, the customers who have been waiting for that product can buy the product.”

He also believes the incentives being offered have really pushed people to buy new vehicles off the lot.

“It’s more affordable to buy a new car now then it ever has been. With the large amount of incentives out there, the zero percents and large cash backs.”

P.E.I. also had the second largest increase in new vehicle sales from January 2012 to Februray 2012 with a 1.4 per cent increase only Saskatchewan had a bigger increase.

MacDonald said he can’t point his finger as to why the Island was one of only three provinces with an increase.

“Yes we did have a great winter, but so did every where else in Canada.”

He said, now is the time to buy a new vehicle.

“Now, more then ever is the time to buy a new vehicle, it is the cheapest it has ever been.”