Auto Blog

New Car Dealers in BC Adapt in the Face of COVID-19

It is an unprecedented time in BC, across Canada and around the world, as we all grapple with the COVID-19 health crisis. Concerns about the spread of the novel coronavirus have mounted and we as a society have had to come to terms with the severity of the situation and establish our new normal, at least for the time being.

As we go through this critical period, we must listen and act on the best advice that our health experts can provide, and we must be responsible and thoughtful in our actions. It is a challenge that impacts each of us individually and extends to businesses, corporations and organizations: each of who have a responsibility to take appropriate preventative action to protect staff and customers.

The New Car Dealers Association of BC (NCDA), and our member dealers, take the situation very seriously. Several initiatives have been put into place to protect staff and customers, as we continue to work to provide an important service to British Columbians.

During this time, people still need their cars and mobility continues to be critically important – especially those working in essential services such as health care – along with caretakers, grocery store clerks, and pharmacists. But this also extends to those needing to deliver supplies to people who cannot leave their homes, those who need to get to medical appointments and make other essential trips. It is important that dealer members are able to work on any potential recalls, make necessary repairs, and service vehicles during a time when people may need their cars the most. Many communities in BC do not allow for walking to stores for essential items and vehicles are necessary to get grocery and filling prescriptions.

Dealerships have adjusted their business practices to comply with the BC Public Health directives and ensure the health safety of all customers and staff. This means enforcing social distancing, adhering to a strict limit of people in a dealership at any one-time, enhanced sanitation plans for surfaces, sanitation stations in dealerships, and limiting operations to essential staff.

In-store community safety information is also available, in the form of posters and digital screens, outlining proper hand washing techniques, prevention, and best practices. There is a sanitation plan which includes increased sanitizing on all high-traffic touch points within all dealerships – multiple times a day.

In terms of service work preparation – guest vehicles that are being serviced are outfitted with steering wheel covers and seat protectors prior to maintenance or repair work. Technicians are also required to wear disposable gloves and other protective equipment as they work on vehicles. All dealers continue to work to provide the safest methods of service during this challenging time.

Though our paramount concern is the health and safety of patrons and employees alike, there is a secondary matter: consumers are still looking to purchase vehicles. With this, dealers have had to adapt and create new procedures for transactions. Some dealers have launched a “Buy From Home” program which allows purchasers to browse vehicles online, and email a dealer with their vehicle of interest. From there, the dealer will deliver a fully sterilized vehicle for a 24-hour test drive. If it’s the one for you, all documentation can then be prepared online and over the phone – all from the comfort of your own home!

Though this time can seem anxiety-inducing and overwhelming, it is by taking these steps as part of a larger community that we can get through it together.

Stay safe everyone, and remember to wash your hands.

Take care.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

In Memoriam – A Legend in the New Car Dealer Community

Over the past week, the British Columbia automotive and business community lost one of their trailblazers, Sherrold Haddad. For our New Car Dealer Association family, Sherrold was a charismatic and vocal proponent of our sector, a proud Chevrolet and Mitsubishi dealer and a person who represented the Canadian ideal, a true immigrant-turned-business-titan who spent many decades dedicated to philanthropic works throughout our region. Sherrold played a historic role in our local automotive community and was a true business statesman in British Columbia. A particular advocate of his adopted hometown of Surrey, where he famously displayed the gargantuan 3200 square foot Canadian flag he purchased following Expo 86, even renaming his dealership Flag Chev Olds. Sherrold was front and centre of many great causes, including the Surrey Memorial Hospital Foundation and Variety Club of BC.

A longtime Chevrolet man, Sherrold began his career in Winnipeg then Medicine Hat, where the Syrian-born Haddad started as a cracker-jack salesman and eventual dealership owner. Relocating to the lower mainland in the early 1970’s Sherrold was the proud owner of the north Guildford dealership which became the patriotically named Flag Chev Olds in the late ‘80’s. It later became Flag Mitsubishi. Still going strong In 2012, at the age of 86, he sold that dealership to the Barnes Wheaton group in order to concentrate on his philanthropic endeavors. At the time I was quoted as saying that Sherrold was one of the legends of the BC auto industry and a pioneer and leader of auto dealerships being the philanthropic hearts of their communities. Those statements are even more true today, as during his eight years of retirement Sherrold continued to be a community leader with significant donations to a wide range of charitable initiatives.

The esteem Sherrold was held in by today’s generation of BC new car dealers is evident, as expressed by Greg Barnes, President of the Barnes Wheaton Autogroup, “Sherrold was a shake the hand, the deal is done type of businessman. His creativity and showmanship were legendary. Only Sherrold Haddad could orchestrate the installation of the world’s highest flagpole as the identity of his dealership. Rest in peace Sherrold, you’ll be missed.”

On behalf of the entire New Car Dealers Association of BC family, our prayers are with Sherrold’s wife Marina and the entire Haddad family.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

New Car Dealers Take Steps to Protect the Public From Coronavirus

Over the last several days, concerns about the spread of COVID-19 have mounted, and as a society, we face a situation that is unprecedented. This is a time when we need to listen to the best advice that health experts can provide, and be responsible and thoughtful in how we collectively manage through the days, weeks and months ahead.

This is a challenge that impacts each of us as individuals and our families – and extends to businesses, corporations and organizations, each of whom have a responsibility to take appropriate preventative action to protect staff and customers.

The New Car Dealers of BC (NCDA) takes this matter very seriously and is following the direction of public health officials. This means, each independent member has developed a health and safety plan to protect customers and have full infection prevention and control precautions in place. Each will continue to act upon the latest advice of BC’s health ministry and will adapt operations as necessary and recommended.

As most readers will be aware, because of mounting concerns about COVID-19, the NCDA made the unprecedented decision to postpone the 100th anniversary of the Vancouver International Auto Show. While there is a feeling of disappointment, the decision to postpone the Auto Show was the right thing to do.

The organizing committee had been closely monitoring the escalating situation related to the novel coronavirus for the past several weeks, while also being guided by advice from provincial health officials. With the number of infections dramatically increasing worldwide, and the World Health Organization (WHO) ultimately declaring the outbreak of COVID-19 a global pandemic, the final decision to postpone the show to protect the health of our attendees, exhibitors and all participants became clear.

We are fortunate to live in a society that affords us the luxury of gathering with people from all over the globe to share passions for automobiles, sports, music and culture. Incidences like the one we’re collectively facing at the moment should give us greater appreciation of the joys of everyday life once there is a return to normalcy.

The organizing committee of the Vancouver International Auto Show is very grateful to all our partners including the Vancouver Convention Centre, event sponsors and commercial exhibitors for their understanding and support in this decision. We are equally grateful to everyone who had been eagerly anticipating the show for their cooperation, no matter how disappointing it is to postpone the landmark 100th anniversary edition of the Vancouver International Auto Show.

Until further notice, the onus is on us as individuals and as communities to take responsibility for the health of ourselves and others by handwashing regularly, staying home from work, and making decisions like adjusting major events are some of the steps that we can all take to contain the outbreak of COVID-19—and to make a return to a post-COVID world a reality sooner rather than later.

We will be back – and better than ever !

Until then, take care of yourselves and those around you. We look forward to seeing you soon.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

What to Watch for at the Vancouver International Auto Show

More than one hundred thousand attendees are expected to attend the Vancouver International Auto show this month – making it the best gathering place in Western Canada for car and truck lovers who will get a close look at the latest vehicles, classics, modified supercars and specialty one-off builds. The 100th Anniversary of the Vancouver International Auto Show takes place at the Vancouver Convention Centre (West) from March 25-29.

One of the most exciting parts is the first glimpse at many new vehicles in advance of them hitting showrooms across the province. The line-up of 2020 offerings will include some of the luxury and exotic class, finest original and restored vintage automobiles, and some of the newest in technology – all under one roof.

The Vancouver show is known for having a must-see line up and this year is no exception. Whether you’re looking to make an investment in a new vehicle, or coming to see the newly released models, there are many new features for you to check out.

On the list of vehicles you must-see is the one that has auto enthusiasts talking around the world – the 2020 Corvette Stingray convertible. It takes Corvette’s heritage up a notch as the first mid-engine in Corvette’s 66-year history. The fighter-jet inspired design maintains the same storage as the coupe, even with the top down.

A much-anticipated concept is the Lexus LC 500 Convertible. The exterior blends the coupe’s unique roofline with the character of a convertible. Drivers can expect similar performance to the coupe, with the powerful drivetrain combination of the 5.0-litre V8 engine paired with the seamless Direct-Shift 10-speed automatic transmission.

A car that is sure to turn heads in the showroom this year is the 2020 Pagani Huayra Roadster. It may just be the most exciting vehicle in the incredibly competitive world of hyper cars, with a twin-turbocharged V12 engine, a world-first Carbotanium chassis and a total power output of 764 HP at 5500 rpm. This one is named after a South American wind god and only 100 were produced – it is so exciting to have it at this year’s show!

General Motors continues with class-leading technology with the all-new Yukon Denali and the first-ever GMC Yukon AT4. GMC is unveiling its Active Response 4WDTM System, which includes an electronic Limited Slip Differential, to continuously monitor road conditions and react to improve traction, handling and overall control.

And last but definitely not least, the much-anticipated first SUV for the Genesis brand – GV80. It has standard all-wheel drive, suspension tuning, intelligent ADAS camera and in-car connectivity.

To check out all of these and many more, head to the Vancouver International Auto Show at the Vancouver Convention Centre West from March 25-29, 2020. For more information on the Show and to purchase tickets, visit www.VancouverInternationalAutoShow.com. 

Kicking off on March 1st, the New Car Dealers Foundation of BC (NCDF) will present a 50/50 raffle that will allow attendees of the Vancouver International Auto Show to participate for a good cause. A portion of the funds raised will support education grants and scholarships that are available each year to students studying in careers that lead to jobs with BC’s New Car Dealers. The Raffle starts online on March 1 at http://www.newcardealersfoundation.ca/  and continues onsite at the Auto Show, March 25-29. The lucky winner will be drawn on March 29 at 5 PM at the Vancouver International Auto Show.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

Revving Up for the 100th Auto Show with Special Guests

Preparations are revving up for the 100th anniversary event for the Vancouver International Auto Show, and a noticeable addition to this year’s opening day line-up is automotive and racing great Roger Penske.

As our special guest to the Vancouver International Auto Show, Mr. Penske will take part in a breakfast panel for media and industry attendees on opening day, Wednesday, March 25th. He’ll discuss the global automotive sector and other exciting topics alongside Canadian Automotive Icon Jim Pattison and other industry leaders.

Penske first fell in love with racing after attending the Indianapolis 500 with his father in the 1950s. By the end of that same decade he was a standout race car driver.

Back in 1965, he walked away from his career as a race car driver to focus on business and his success continued as a Chevrolet dealer in Philadelphia, but his passion for the track also continued. The former race car driver assembled his own race team in 1966 and Team Penske has been in the winner’s circle many times since. The team has more than 540 all-time race wins – including a record 18 Indianapolis 500 victories, and 37 national championships.

Penske is well decorated for his career both on and off the track. He was inducted into the NASCAR Hall of Fall in 2019, and the Automotive Hall of Fame back in 2015. He received the Presidential Medal of Freedom last year, which is the highest civilian honour award in the United States.

He’s made a name for himself in the racing world since he began racing, and over the past 50 years has become one of the greatest leaders and innovators in both the automotive and racing industry. We are thrilled to welcome him to this year’s event!

If you’d like to see a couple of Team Penske’s winning racing cars up close and personal, you’re in luck. He’ll be bringing two to the Auto Show – the Dallara/Chevrolet driven by Josef Newgarden to the 2019 IndyCar Series Championship and the 2018 Indianapolis 500 winning car that was driven by Will Power.

The opening day line-up also includes an 100th Anniversary ribbon cutting ceremony which Roger Penske will take part in.

The 100th edition of the Vancouver International Auto Show rolls into the Vancouver Convention Centre West from March 25 to March 29, 2020.

Check out the latest in vehicle unveils and find something that suits your unique lifestyle at this milestone event. For more information on the Show and to purchase tickets, visit www.VancouverInternationalAutoShow.com.

Kicking off on March 1st, the New Car Dealers Foundation of BC (NCDF) will present a 50/50 raffle that will allow attendees of the Vancouver International Auto Show to participate for a good cause. A portion of the funds raised will support education grants and scholarships that are available each year to students studying in careers that lead to jobs with BC’s New Car Dealers. The Raffle starts online on March 1 at http://www.newcardealersfoundation.ca/ and continues in person on March 25 at the Auto Show. The lucky winner will be drawn on March 29 at 5pm at the Vancouver International Auto Show.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

Racing Legend Roger Penske Makes Pit-Stop at the Vancouver International Auto Show

Preparations are revving up for the 100th anniversary event for the Vancouver International Auto Show, and a noticeable addition to this year’s opening day line-up is automotive and racing great Roger Penske.

As our special guest to the Vancouver International Auto Show, Mr. Penske will take part in a breakfast panel for media and industry attendees on opening day, Wednesday, March 25th. He’ll discuss the global automotive sector and other exciting topics alongside Canadian Automotive Icon Jim Pattison and other industry leaders.

Penske first fell in love with racing after attending the Indianapolis 500 with his father in the 1950s. By the end of that same decade he was a standout race car driver.

Back in 1965, he walked away from his career as a race car driver to focus on business and his success continued as a Chevrolet dealer in Philadelphia, but his passion for the track also continued. The former race car driver assembled his own race team in 1966 and Team Penske has been in the winner’s circle many times since. The team has more than 540 all-time race wins – including a record 18 Indianapolis 500 victories, and 37 national championships.

Penske is well decorated for his career both on and off the track. He was inducted into the NASCAR Hall of Fall in 2019, and the Automotive Hall of Fame back in 2015. He received the Presidential Medal of Freedom last year, which is the highest civilian honour award in the United States.

He’s made a name for himself in the racing world since he began racing, and over the past 50 years has become one of the greatest leaders and innovators in both the automotive and racing industry. We are thrilled to welcome him to this year’s event!

If you’d like to see a couple of Team Penske’s winning racing cars up close and personal, you’re in luck. He’ll be bringing two to the Auto Show – the Dallara/Chevrolet driven by Josef Newgarden to the 2019 IndyCar Series Championship and the 2018 Indianapolis 500 winning car that was driven by Will Power.

The opening day line-up also includes an 100th Anniversary ribbon cutting ceremony which Roger Penske will take part in.

The 100th edition of the Vancouver International Auto Show rolls into the Vancouver Convention Centre West from March 25 to March 29, 2020.

Check out the latest in vehicle unveils and find something that suits your unique lifestyle at this milestone event. For more information on the Show and to purchase tickets, visit here.

Kicking off on March 1st, the New Car Dealers Foundation of BC (NCDF) will present a 50/50 raffle that will allow attendees of the Vancouver International Auto Show to participate for a good cause. A portion of the funds raised will support education grants and scholarships that are available each year to students studying in careers that lead to jobs with BC’s New Car Dealers. The Raffle starts online on March 1 here and continues in person on March 25 at the Auto Show. The lucky winner will be drawn on March 29 at 5 pm at the Vancouver International Auto Show.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

Vancouver International Auto Show Celebrates 100 Years of Automotive Excellence

More than 100,000 auto lovers will descend on the Vancouver Convention Centre March 25th to 29th to take part in the 100th anniversary of the Vancouver International Auto Show, where they’ll catch a glimpse of some of the world’s most luxurious, exotic and one-of-a-kind cars and trucks.

Investing in a new vehicle is a major decision, one that should be made with care. And thanks to the low-pressure environment at the Vancouver International Auto Show, prospective buyers can gather all the information they need to make a decision at their own pace, on their own terms.

Show-goers will have the opportunity to take-in this year’s new models featuring the latest cutting-edge technology and safety features—not to mention the beauty and raw power displayed by this year’s batch of vehicles.

Raw power and beauty are two words used to describe one of the featured vehicles: the Pagani Huayra Roadster. This car takes its name from a South American god of wind—and it goes about as fast as the wind. Two twin-turbocharged V12 engines, and a world-first Carbotanium Chassis, allow the Pagani Huayra Roadster to pump out 764 horsepower at 5500 rpm. Only 100 of these engineering marvels have been produced, and those planning on attending the show this year will be able to lay their eyes on one of them.

Drivers looking to ride in the lap of luxury—and move quickly while doing so—should seek out the Lexus LC 500 Convertible (the concept can be seen at the Auto Show). Engineers at Lexus designed this car to build on the outstanding handling dynamics of the LC 500 coupe with additional robust structural rigidity and relocation of structural braces to help make a ride in the LC 500 convertible even smoother. The advanced HVAC system adjusts temperature automatically, meaning that drivers can keep the top down and stay comfortable in every type of weather. Featuring a naturally aspirated V8, 471-horsepower engine, this ride has all the performance and luxury Lexus-admirers have come to expect.

The world of hybrid-electric vehicles is advancing at a rapid pace. That’s why the Ford Escape Plug-In will be at the top of the list for attendees this year. The Escape offers almost 50km of EV range, complementing its patented fuel-efficient EcoBoost engine. Another great vehicle on display will be the 2021 Toyota RAV4 Prime. New technologies have made it the most powerful RAV4 yet, offering an estimated 302 combined net horsepower. And its Electronic On-Demand All-Wheel Drive offers incredible stability through slippery surfaces.

Naturally, that’s only a small slice of the suite of EVs and hybrid vehicles at the show. CleanBC – Go Electric Test Drives offer a place where curious drivers can test-drive an electric vehicle to get a feel of the future of automobiles.

No 100th anniversary celebration would be complete without a look back through the years—and that’s exactly what attendees of the UNVEILED Gala taking place opening night of the show can expect. Dealer and associate members, vehicle manufacturers, suppliers, government, media and friends of the New Car Dealers Association (NCDA) of BC will be transported back in time 100 years to experience a taste of the glamour and opulence of the roaring 20’s, while enjoying an abundance of food and drink options, all while networking with industry-colleagues.

Just prior to the UNVEILED event, the New Car Dealers Association will be presenting several awards at the DISTINCTION: Celebrating Excellence event. The NCDA, its Board of Directors and Sponsors will bestow the Community Driver Awards, BC Salespeople of the Year Awards, and Green Star Dealer Awards to some of the best and brightest in the industry. and the Automotive Dealership Management Graduates from the Automotive Business School Canada will receive their diplomas.

This year’s Show sponsors include, RBC, Continental Tire, BC Hydro, Autotrader.ca, FILLD, ICBC, Beere Brewing Co, Drive Marketing and The National Association of Automobile Clubs Canada.

The Vancouver International Auto Show is a can’t-miss event each and every year and the 100th anniversary will truly be a memorable celebration of everything the industry has to offer, from past to present and into the future. To learn more about this year’s features, and to purchase your tickets, visit: www.VancouverInternationalAutoShow.com.

For the latest information on car careers in BC’s automotive industry, visit: https://carsandjobs.com/.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

Overall Canadian Vehicle Sales for 2019

Final new car sales figures are in for 2019 – and it will go down as the fourth highest on record in Canada with slightly more than 1.91 million sales transactions occurring.

According to DesRosiers Automotive Consultants Inc., 2019 was the year of the SUV. Subcompact SUVs finished the year with a 28.5% increase – holding on to the title of fastest growing segment in the country—and large luxury SUV sales climbed by 12.4%.

There was no major shake up to the hierarchy of popular Canadian vehicles in 2019, as buyers largely stuck to the tried and true. According to industry statistics website, Statista, the Ford F-Series continued to receive overwhelming support and loyalty from consumers, making it the most popular vehicle in Canada for the tenth year in a row. Approximately 145,000 Ford F-Series were sold in 2019, with the second place Ram pickup selling around 96,500 models. The Ram pickups may not have overtaken the top spot, but they did see an impressive 14% gain.
Rounding out the top three was the Toyota RAV4 with sales in excess of 65,000, and showing an increase of 17.8%..

Zero- emission vehicles (ZEVs) continued to show strong growth across Canada. As reported by Electric Mobility Canada, ZEV sales now account for 3.5% of national vehicle sales, with that number being impressively higher in BC where 10% of all car sales purchased last year were ZEVs.

BC has always had a reputation for having a strong environmental consciousness, but that’s not the sole reason for the rise of ZEV sales in the province. With the introduction of federal incentives last May and the continued support of the CEVforBC™ Program, through which 14, 400+ program transactions occurred in 2019, British Columbians are finding it possible to make the switch to green rides.

If you are an auto enthusiast who has a love for the latest from the world’s biggest auto manufacturers, or you have an affinity for sports cars, pick-up trucks, sedans, supercars, or concept vehicles – the place to be is the Vancouver International Auto Show, March 25-29 at the Vancouver Convention Center West.

Celebrating it’s 100th anniversary, one of the features of this year’s Auto Show will be a focus on the storied history of the annual event and the vintage vehicles on display which will allow visitors to travel down memory lane to revisit vehicles of the past that hold sentimental value.

This year’s Auto Show will have something for car lovers and we hope to see you there! For more information about the Show, and to purchase tickets, please visit here.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected]

Sparking Change in Vehicle Purchasing

2019 proved to be another record year for electric vehicle (EV) sales in British Columbia, as the trend towards electrification continues.

Under the CleanBC Program which provides a point of sale incentive of up to $3,000 from the Provincial Government, administered by the New Car Dealers Association of BC, CEVforBC™ applications almost doubled in 2019, surpassing 2018’s record.

While EV sales have steadily increased through Canada, there is no question that BC has assumed a leadership position. Not only does the province have a history of being environmentally focused, but it’s providing opportunities to make the change to greener transportation options easier. With the continued success of CEVforBC™ and the SCRAP-IT® Program, along with investments in vehicle charging infrastructure, many British Columbians are finding that switching to a full or hybrid EV is not only possible – but an attractive option.

For many consumers – right behind the issue of price – the issue of range anxiety, remains a major concern – particularly those who many live outside of well populated areas where charging stations are becoming more common-place. And while building the infrastructure is a process, it’s worth noting that today there are over 1,000 charging stations in BC with that number increasing in 2020.

Although it’s true that many of these charging stations service the southern part of the province, investments are being made in other areas of the province to create a more extensive network. As an example, the Northern Development Initiative Trust (NDIT) in Prince George has committed $192,000 towards the creation of EV charging stations across central and northern BC and aims to establish a network of 47 Level 2 charging stations throughout the region. 100 Mile House has also just opened their first electric charging stations, which really shows that more communities are working to make EV’s more accessible.

While it’s encouraging to see an increase in charging stations along major highways and driving routes, ensuring charging stations for consumers at their home is also an important part of the equation. Well, if you chose to install a Level 2 charger at your house there’s an incentive program for that! Customers are eligible to receive a $350 rebate from the BC government for making the switch. You can visit https://goelectricbc.gov.bc.ca/#rebates for more information.

According to data released by Electric Mobility Canada, 10% of all vehicle sales in British Columbia were zero-emission vehicles at the end of 2019. Bringing the overall total of EVs on B.C. roads to approximately 31,000. Amongst the top sellers in Canada were the Tesla Model 3, Toyota Prius Prime and the Chevrolet Bolt.

In an effort to combat climate change and greenhouse gas emissions, the provincial government passed legislation last April that requires all new vehicles sold to be emission free by 2040.  The transition will take time. After all, the vast majority of all passenger vehicles and trucks sold in Canada continue to be gasoline or diesel powered. Here in BC, the fleet average is approximately eleven years old, underlining that the move to EV’s won’t be a quick one.

Turning over our older fleet on BCs roads, even to newer much more fuel-efficient gas vehicles, remains a huge opportunity for BC to meet its CleanBC targets. Programs such as BC Scrap-It® encourage British Columbians by paying an incentive to scrap their older, more polluting gas vehicle when they purchase a new qualifying EV.
The NCDA wants to ensure consumers or potential consumers are armed with the best and most up to date information so they can make the most educated choice possible. When it comes to the purchase of electric or any other new vehicle, the support and encouragement dealers provide goes a long way towards fuelling the growth of clean energy vehicle adoption, and in doing so, reducing emissions and improving air quality.

For the latest information on car careers in BC’s automotive industry, visit: https://carsandjobs.com/.
The 2020 Vancouver International Auto Show returns to the Vancouver Convention Centre West from March 25-29, celebrating its 100th anniversary. Tickets are on sale now. Purchase yours here: www.VancouverInternationalAutoShow.com.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

Luxury Tax on Vehicles Challenging New Car Industry

All levels of government face the difficult challenge in finding the resources required to fund the multitude of needs and wants that society demands of them.

However, there are occasions when a government will come to a conclusion without the benefit of research, context or a full understanding of the implications of a decision. The vehicle luxury tax being proposed by the minority Liberal government may be an example of this.

The federal minority government campaigned last fall on a platform that included establishment of a new 10 per cent luxury tax on vehicles over $100,000 – and the implications in British Columbia, where car dealers are already experiencing the impact of a provincial luxury tax, is significant.

The BC luxury tax on vehicles has been in place since the 1990’s and kicks in at a $55,000 purchase price – a cost not uncommon by today’s standards for pickups that are required by many businesses and individuals who live and work in resource communities. In 2018, the provincial government established an additional luxury surtax on vehicles priced at $125,000 and beyond.

The NCDA canvassed its members in December on the impact of the provincial luxury tax and the implications have been substantial. Of the 60 dealer-members that responded (only 15 per cent of our membership), 66 per cent have experienced a reduction in sales – and the drop in sales has had a corresponding impact on employment. Twenty-seven dealerships have cut between 1-5 jobs, eight dealers have cut between 5-10 staff and one has cut more than 10 staff.

Additional taxation in a highly competitive sector like ours is always a concern, as consumers in BC can simply go to other neighbouring jurisdictions with more favourable tax structures for their purchases – putting BC companies and family-supporting jobs at risk.

Now, the federal proposal threatens to impose and tax-on-tax for new car dealers, providing an even greater incentive for consumers to take their business elsewhere

The survey of members underlines how the impact will be significantly compounded should the tax come into force. They use terms such as “absolutely devastating” and “complete disaster” to describe the potential impact – and suggest it means more layoffs and putting on hold any additional staffing being contemplated. In some cases, it means deferring capital expenditures and as a result, spending less on local suppliers. Inevitably this will mean less money for the provincial and federal treasuries.

Our association represents close to 400 new car dealerships doing business in 55 communities across the province. They generate close to $16 billion activity annually, over $2 Billion in net GDP to local economies and employ 36,000 British Columbians, directly and indirectly, in a wide range of high quality, family supporting jobs.

Since the re-election of the Liberal minority government, the luxury tax measure has been put into the Mandate letters of senior ministers, giving every indication they intend on enacting this measure, in the federal budget in February or March.

Our Association, in cooperation with our national Association CADA, is hoping to be able to work with government and ensure the political decision makers understand the additional context and implications so they might reverse or at least limit the impact of this measure – because without their full attention, a great deal is at stake.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

Cars to Look Out for in 2020

We’re almost a month into the new decade and it is already proving to be an exciting time for the automotive industry and auto manufacturers have an exciting line up of new vehicle models on offer to kick off 2020.

In many respects, we anticipate this will once again be the year of the SUV. For the first time ever, sales of sport utility vehicles surpassed the 900,000 mark in Canada. We expect to see this trend continue in 2020, especially with all the new models on the market, including the Ford Bronco, one of the most anticipated vehicles in recent years. The iconic nameplate returns after years of speculation and a hiatus since 1996.

New for 2020 is the Kia Telluride, which features a 3.8 liter V6 engine and generates 291 horsepower with an eight-speed automatic transmission. It also comes with family-friendly technologies – an ever-important feature in vehicles, including a spacious third row seating area.

2020 is also going to be a significant year for new electric vehicles (EV) in the marketplace. Last year, a major milestone was realized, as government celebrated the fact that 30,000 EVs are now travelling BC’s roads and highways. And in British Columbia, we have seen transactions recorded through the CEVforBC™ incentive program grow from a modest total of 567 in 2013, but increase substantially in each subsequent year. By 2017, EV sales totaled 3,500 before rising dramatically to 8,500 in 2018. The Program paid out for 14,400+ EVs for 2019.

One of the new EV’s that is sure to be a hot ticket item is the Ford Mustang Mach-E. The design will mimic its iconic Mustang is a 332-horsepower all-wheel-drive, and mileage will range from 210 (AWD) to 230 (RWD) miles. One of the most exciting features, beyond its mileage, is the use of Artificial Intelligence. It will monitor your habits and then make suggestions based on that information. It will also allow users to state various commands in particular with the GPS system. What a future!

In 2020, environmentally friendly vehicles will continue to be important to consumers – as well as new technologies that make the automotive experience more convenient.

Toyota’s GR Supra is a fun car to keep your eye on this year. It pays homage to the vintage Toyota design, but packs 3.0-liter inline six-cylinder engine that channels 335 horsepower.

You can expect to see some of these cars and many more at the special 100-year celebration of the Vancouver International Auto Show – at Convention Centre West, from March 25 to March 29, 2020.

Check out the latest in vehicle unveils and find something that suits your unique lifestyle at this milestone event. For more information on the Show and to purchase tickets, visit www.VancouverInternationalAutoShow.com.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].

New Year – 2020 Forecast

As we enter a new year and a new decade, there is no denying the ongoing significance of the auto sector in the Canadian economy. In fact, recent statistics by DesRosiers Automotive Consultants (DAC), the country’s only dedicated automotive market research company, serve to drive home that point.

Year-end figures show Canada’s new light vehicle sales market finished 2019 with just over 1.9 million units sold, making it the fourth best sales year on record. And while this may represent a decline over 2018, experts suggest part of the reason is that consumers are spending more on vehicles that tend to last longer.

2019 was a success story for SUV’s, with sales topping 900,000 for the very first time – and incredibly close to claiming half of the new light vehicle sales, reaching nearly 48% by the end of the year. The subcompact, large luxury, large, and luxury compact SUV segments outpaced the overall market with a gain of 28.5 per cent over last year. The rise of the SUV underlines the fact that Canadians are increasingly looking for these types of vehicles for practicality, safety, and improving fuel efficiency.

Among the increasingly popular SUV’s is the Canadian-made Toyota RAV4 which claimed top spot with just over 65,248 units sold, an increase of 17.8%. This is a trend we expect to see continuing over the next year, as Canadians are looking for reliable products designed for a wide range of terrains.

The Ford F-Series and Honda Civic continued their dominance in the light truck and passenger car categories – as they topped sales of 145,000 and 60,000 units respectively.

As we near the Vancouver International Auto Show, you can be assured that many of the world’s top auto manufacturers will be displaying their latest models – whether those are cars, pick-up trucks, SUVs, or the latest and greatest in the electric vehicle (EV) category.

While year-end Canadian EV sales results are not yet available, 2019 totals will undoubtedly establish a new record. BC has assumed a leadership position on this front, with more than 30,000 EV’s now travelling our roads and highways.

Of course, you can get a better idea of the future of the automotive industry, just one feature of the 100th edition of the Vancouver International Auto Show at the Vancouver Convention Centre West from March 25 to March 29, 2020.

Check out the latest in vehicle unveils and find something that suits your unique lifestyle at this milestone event. For more information on the Show and to purchase tickets, visit www.VancouverInternationalAutoShow.com.

Blair Qualey is President and CEO of the New Car Dealers Association of BC. You can email him at [email protected].