Continuing our partnership with DesRosiers Automotive Consultants (DAC), the UCDA reached out to Members to take the pulse of the industry in Ontario.
We have been able to gather useful data from hundreds of dealers.
The majority of respondents were independent car dealers (77.2%), but a sizeable number of franchised dealers (22.8%) also took the time to provide their feedback.
In the first half of 2026, franchised and independent dealers reported a slight drop in used vehicle sales, and while both expect to double those sales by the end of the year, the total expectations are way off of expectations in 2025.
Independent dealers felt sourcing used vehicles in the last 6 months had gotten harder (52.1% felt this over 48.2% in the first half of 2025). Franchised dealers’ opinion on this saw improvement from 2025 (52% in 2025 compared to 48.6% in 2026).
Interestingly, used vehicle dealers noted an increasing easing of supply difficulties for used vehicles in the 1 – 7 year categories, the most desirable used vehicle inventory. This is in line with UCDA expectations of the effect of tariffs and other pressures on better used inventory in Ontario. Franchised dealers noted more difficulties in that category.
Of note, on the tariff front, both new (69.7%) and used motor vehicle dealers (50%) noted a decrease in used vehicle exports to the U.S. in the first half of 2026.
New car dealers continue to source most of their used vehicles (67.7%) from consumers, while auctions continue to be the most important source of used vehicles (48.6%) for used car dealers.
The survey also provides some interesting data on how customers are paying for their vehicles. The vast majority of customers (75.8%) continue to approach used car dealers with cash in hand, whereas most customers of new car dealers (59.3%) are purchasing vehicles through loans arranged at the dealership.
Movement on pricing was interesting, with franchised and independent dealers observing decreased pricing, or no change, across various vehicle types from cars to pickup trucks, in the first half of 2026.
Please see the full survey results HERE