Despite near-record high gas prices, Canadians buying more trucks, fewer small cars

[MetroMPG]

Gas prices in Canada flirted with near record highs a couple of weeks, ago, and they're only barely below that level now. We're paying around $1.30 CAD per liter -- roughly $5 USD per US gallon.

Canadians have long had a love affair with sensible sub-compact & compact cars. Much more so than Americans, for a variety of reasons. But recent numbers show a trend going in the other direction.

Comparing the first half of 2013 to the first half of 2012 ...

... subcompact sales in Canada have plunged 13.6 per cent. By the way, compact car sales in Canada are up a piddling 1.2 per cent.

Compare that to trucks:

pickup trucks (up 14 per cent), large luxury sport-utilities (up 18.6 per cent) and compact sport-utes (luxurious ones up 18 per cent, regular ones up 10 per cent.

Yikes.

Full article: "Gas prices are high, and Canadians are buying... more large trucks?" ... Gas prices are high, and Canadians are buying... more large trucks? - The Globe and Mail

(That link will probably only be available for a few weeks until it disappears behind the paywall.)

Why?

Probably because credit is so cheap these days -- in the past few years, Canadians for the first time have surpassed our American cousins in the amount of personal debt they carry as a ratio vs. disposable income. And cheap money can cause people to buy what they want, rather than what they need.

Also, gas prices have more or less crept up, rather than surged up, during the recovery from the financial crisis. People tend to respond less to gradual increases than sudden spikes. (Frog in the pot of boiling water story, anyone?)

It's an interesting development, anyway.

[Frank Lee]

You know, I noticed the very same thing in my area a few years ago when gas hit $4 for the first time- it was as if everybody was protesting (or celebrating? ) record high gas prices by running out and buying new Silverados and Suburbans. There was simply such a huge flood of brand new full-size pickups running around, I was wondering if they were giving them away.

[night9]

Well its not like car/truck buying is ever driven by much rational thought. Usually its fuelled by what people want not what people need. It could aslo be the star bellied sneetches effect. Status is everything!

[Woodeden]

Sat in the parking lot in Timmies recently on a saturday morning and was just astounded by the number of full size, crew cab, 4X4 pick up trucks going through the drive up window with one person inside.

[MetroMPG]

"Stop trying to throw your logic into my emotional decisions!"

[Frank Lee]

Once again, Canada proves that it is Uhmerica Lite. So much for moving there. :/

[Flakbadger]

Hey listen Metro, I don't like your attitude! How do you know all those pickups aren't for hard work like transporting a single passenger across level terrain on a highway for 20 or more miles?

Clearly that is what pickups and SUVs are made for. Plus you need all that 4 wheel drive for whenever you get snow---it's not like compact cars can just put chains on or something.

Besides, how do you expect me to drive over rough terrain like parking lot dividers without an F-550 with duallies, a crew cab and smoke stacks in the short bed?

Duh!

[night9]

You forgot to mention the need to have Mud tires and a winch with a truck/suv that will never see anything but pavement.

I would be interested to see if the incidence of road rage and tailgating have gone up as well. Big car, big ego, big problem!

[Flakbadger]

Originally Posted by night9

You forgot to mention the need to have Mud tires and a winch with a truck/suv that will never see anything but pavement.

Oh that's right! I might need that winch someday, but I want to make sure it doesn't get dirty or scuffed in the mean time, so don't touch it. I just waxed it.

[Frank Lee]

I hope the Canadian rednecks are doing muffler deletes like their southern kin. The Hardley-Ableson women say it's all about safety and I believe it.