Light trucks dominate, passenger cars struggle

The light truck market continues to thrive in 2025, accounting for 88.1 per cent of total new light vehicle sales.

Sales rose 4.7 per cent in the first quarter, driven by strong performances in the SUV, van, and pickup segments, according to DesRosiers Automotive Consultants, highlighting the ongoing shift in consumer preferences towards light trucks and away from traditional passenger cars.

Intermediate luxury and large luxury SUVs saw significant sales increases of 18.9 per cent and 14.9 per cent, respectively. In contrast, subcompact SUVs and intermediate SUVs experienced declines of 6.3 per cent and 7.5 per cent.

Vans and pickups showed strength, with small pickups leading the charge with an 89.6 per cent sales rise. Small vans grew 32.9 per cent, while large vans and large pickups saw increases of 21.1 per cent and 5.0 per cent.

Meanwhile, the passenger car market continued its struggles, with an overall decline of 9.3 per cent in the first quarter. The luxury, sport, and intermediate passenger car segments faced heavy declines of 33.0 per cent, 38.9 per cent, and 44.9 per cent, respectively.

Despite these challenges, luxury sports cars and subcompact cars saw sales rise significantly, though at relatively low volumes.

“Consumer preferences continued to adjust the segment-level sales picture in the first quarter of 2025, complicated by rapid declines in BEV sales,” observed Andrew King, managing partner at DesRosiers. “Looking forward, with tariffs now in place on U.S.-built vehicles, we may yet again see further changes as vehicle companies, dealers and consumers adapt to the new market realities.”

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