SUV & Light Truck Manufacturing in Canada - Market Research Report (2013-2028)
New York, United States
Last Updated: October 2023
NAICS 33611bCARevenue
$34.4bn
Past 5-Year Growth
Profit
$XXX.Xm
Employees
18,078
Businesses
27
Wages
$X.Xbn
SUV & Light Truck Manufacturing in Canada industry analysis
Revenue for SUV and light truck manufacturers in Canada is projected to decrease throughout 2023, due to disruptions caused by the COVID-19 pandemic and volatile economic conditions. With the export market accounting for over 50.0% of industry revenue in 2023, of which more than 95.0% is destined for the United States, industry operators are heavily reliant on US economic conditions. Despite a robust economic recovery after the peak of the pandemic, industry production has not fully recovered to the levels exhibited earlier in the period. As a result, the industry has declined at a CAGR of 7.4% over the past five years and is expected to total $34.4 billion in 2023, when revenue will fall by an estimated 0.7%.Industry profitability is also expected to decline throughout 2023. While 2020 marked a low point for industry profit, measured as earnings before interest and taxes, it is still expected to remain relatively low at the close of the period, although improved from the previous year. Purchasing costs are expected to increase during the current period as a result of supply chain difficulties and shortages of key components such as semiconductors.Industry revenue prospects are expected to improve as economic volatility declines over the next five years. In the wake of an economic recovery in both Canada and the United States, industry revenue is forecast to grow at a CAGR of 3.0% over the five years through 2028 to total $39.7 billion. Renewed investment in plants is primarily a result of federal and provincial funding in an effort to hit nationwide zero-emission sales. These investments, such as Ford Motor Company of Canada Limited's future $2.0 billion investment in its Canadian plants to produce zero-emission vehicles, are expected to lead the way in enabling Canada to reach these targets. Also, exports to the United States are expected to improve as electric vehicle sales are expected to increase there.
Trends and Insights
- Consumer preferences have evolved. Larger vehicles have grown massively in popularity since the 2000s, and EVs have begun taking over the industry as climate consciousness rises.
- Changing consumer preferences has kept the industry afloat. The race to provide EVs and the modern features customers want is driving innovation.
- Ontario represents the overwhelming hub of all industry-vehicle production. Ontario is home to the domestic facilities of Honda Canada and Stellantis Canada.
- The dominant automakers maintain control. The high cost of producing vehicles, combined with the size and power of the established producers, makes it virtually impossible to join the industry.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 7.4 % over the past five years, to reach an estimated $34.4bn in 2023.
Trends and Insights
Lockdowns kept vehicles parked
- As COVID-19 quickly spread, the government took steps to mitigate its spread, which included widespread lockdown orders. This kept everyone at home, bringing the economy to a halt and cutting out the need for transportation.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Trade will lift manufacturers' prospects
- Moving forward, improving trade conditions will lift the industry. The trade weight index (TWI) will continue to drop, raising the appeal of domestic products and disincentivizing imports.
Biggest companies in the SUV & Light Truck Manufacturing in Canada
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Toyota Motor Manufacturing Canada Inc. | 8,391.5 | 801.1 | 9.5 | |
Stellantis Canada | 7,671.8 | 939.2 | 12.2 | |
Honda Canada Inc. | 6,592.2 | 327.3 | 5.0 |
To view the market share and analysis for all 5 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Crossovers, SUVs and Vans. Crossovers is the largest segment of the SUV & Light Truck Manufacturing in Canada.
Trends and Insights
SUVs
- SUVs are fully enclosed vehicles similar to station wagons but built on a light truck chassis. These vehicles, such as the Jeep Wrangler, were originally known for their excellent off-road capabilities.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Car & Automobile Manufacturing in Canada
- Truck & Bus Manufacturing in Canada
Complementors
- Truck, Trailer & Motor Home Manufacturing in Canada
- Automobile Engine & Parts Manufacturing in Canada
International industries
- Global Car & Automobile Manufacturing
- SUV & Light Truck Manufacturing in the US
- Motor Vehicle Manufacturing in Australia
- Motor Vehicle and Parts Manufacturing in New Zealand
- Motor Vehicle Manufacturing in the UK
Table of Contents
About this industry
Industry definition
This industry manufactures light trucks and utility vehicles, such as vans, pickups, sport-utility vehicles (SUVs) and crossover-utility vehicles (CUVs). The industry also manufactures light truck and utility vehicle chassis. This industry excludes the manufacturing of cars and motorcycles.
What's included in this industry?
Pickup truck manufacturingSUV and CUV manufacturingLight truck and utility chassis manufacturingCompanies
Toyota Motor Manufacturing Canada Inc.Stellantis CanadaHonda Canada Inc.Purchase this report to view all 5 major companies in this industry.
Related Terms
FUEL CELLHYBRID VEHICLESFUEL ECONOMY/EFFICIENCYCORPORATE AVERAGE FUEL ECONOMY (CAFE)CROSSOVER-UTILITY VEHICLE (CUV)SPORT-UTILITY VEHICLE (SUV)Industry Code
NAICS 336110 - SUV & Light Truck Manufacturing in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Consumer preferences have evolved. Larger vehicles have grown massively in popularity since the 2000s, and EVs have begun taking over the industry as climate consciousness ri...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Changing consumer preferences has kept the industry afloat. The race to provide EVs and the modern features customers want is driving innovation.
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2023
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Ontario represents the overwhelming hub of all industry-vehicle production. Ontario is home to the domestic facilities of Honda Canada and Stellantis Canada.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each province in 2023
- Number and share of revenue each province accounts for in 2023
- Number and share of wages each province accounts for in 2023
- Number and share of employees in each province in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The dominant automakers maintain control. The high cost of producing vehicles, combined with the size and power of the established producers, makes it virtually impossible to...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Sustainability becomes the focus. The automaker that can produce the most climate-friendly vehicles will win out as preferences shift and restrictions tighten.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Toyota Motor Manufacturing Canada Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Stellantis Canada's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Honda Canada Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of revenue, market share and profit margin trend for 2 additional companies
Detailed analysis
- Description and key data for Toyota Motor Manufacturing Canada Inc., and factors influencing its performance in the industry
- Description and key data for Stellantis Canada, and factors influencing its performance in the industry
- Description and key data for Honda Canada Inc., and factors influencing its performance in the industry
- Description, key data and performance trends for 2 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Canadian vehicle safety laws are harmonized with those of the United States. Likewise, Canada’s emissions standards are also harmonized with the United States.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Purchases dominate costs. The sheer number of parts and their complexity means that so many different pieces need to be aggregated. Even the parts made in-house come from pur...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Assets (2016-2021)
- Liabilities (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the SUV & Light Truck Manufacturing industry in Canada in 2024?
The market size of the SUV & Light Truck Manufacturing industry in Canada is $34.4bn in 2024.
How many businesses are there in the SUV & Light Truck Manufacturing in Canada industry in 2023?
There are 27 businesses in the SUV & Light Truck Manufacturing industry in Canada, which has grown at a CAGR of 1.6 % between 2018 and 2023.
Has the SUV & Light Truck Manufacturing industry in Canada grown or declined over the past 5 years?
The market size of the SUV & Light Truck Manufacturing industry in Canada has been declining at a CAGR of 7.4 % between 2018 and 2023.
What is the forecast growth of the SUV & Light Truck Manufacturing industry in Canada over the next 5 years?
Over the next five years, the SUV & Light Truck Manufacturing industry in Canada is expected to grow.
What are the biggest companies in the SUV & Light Truck Manufacturing market in Canada?
The biggest companies operating in the SUV & Light Truck Manufacturing market in Canada are Toyota Motor Manufacturing Canada Inc., Stellantis Canada and Honda Canada Inc.
What does the SUV & Light Truck Manufacturing in Canada include?
Pickup truck manufacturing and SUV and CUV manufacturing are part of the SUV & Light Truck Manufacturing industry.
Which companies have the highest market share in the SUV & Light Truck Manufacturing in Canada?
The company holding the most market share in Canada is Toyota Motor Manufacturing Canada Inc..
How competitive is the SUV & Light Truck Manufacturing industry in Canada?
The level of competition is high and steady in the SUV & Light Truck Manufacturing industry in Canada.
