More Out Of Pocket As Car Costs Rise

(RICHMOND HILL, ON) – Operating a vehicle in Canada became more expensive in 2017, according to consumer price index measures. Much of this change was due to the increasing cost of gasoline across Canada, the CPI for which increased 11.8% between 2016 and 2017.

Furthermore, the cost of registration fees increased 4%, parking fees increased 2.3%, insurance premiums increased 2%, maintenance and repair services increased 1.8%, and parts/accessories costs increased 1.5%.

The CPI for driver’s licenses remained unchanged between 2016 and 2017. The cost of all other passenger vehicle operating expenses decreased 1.1%, but this was not enough to offset the rising costs among all of the aforementioned categories.

This increase followed two years of declines; the overall CPI decreased 1.8% by the end of 2016 and decreased 7.1% by the end of 2015. Prior to this, only a marginal increase of 0.9%  was recorded by the end of 2014 and 0.4% by the end of 2013.

DAC-Chart-CPI 2018

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About the Author

Dennis DesRosiers
Since the founding of his independent consulting practice in 1985, Dennis DesRosiers has become Canada’s leading automotive industry analyst and one of the foremost theorists in the North American automotive industry. More information can be found in the DesRosiers Automotive Reports published by DesRosiers Automotive Consultants. For more information on these reports call 905-881-0400 x26 or Email DAC.