MISSISSAUGA, Ont. - GE Capital is bullish on the Canadian market. The company's Commercial Distribution Finance (CDF) business says it has witnessed "positive trends" in the Canadian marine, motorsports and RV industries during the first half of 2013 and expects favorable conditions to continue into 2014.
Dealer inventory is up in all three markets, and aging of inventory has dropped in motorsports and marine, the company noted in a press release issued today. Inventory aging remained flat between 2012 and 2013 in the RV sector, it added.
"Cool weather in May and June resulted in a late start to the already short Canadian selling season, but, surprisingly, liquidations are only slightly below last year's levels," said Howard Shiebler, president and CEO of CDF in Canada. "Overall, the macro-economic environment has stabilized and the Canadian economy continues to respond favorably."
Wholesale shipments of motorsports products during the first half of the year were driven largely by the country's Atlantic region and western provinces, up 18 and 11 percent, respectively. Quebec increased by 5 percent, while Ontario and the areas in Canada's mid-section (the "prairie" markets) dropped 1 percent. The national level of inventory over a year old has dropped to about 12.5 percent, compared to 15.5 percent this time in 2012, CDF reported.
Wholesale shipments of marine vehicles, which includes boats as well as personal watercraft, is up 17 percent over this time last year, the company reported. The RV industry is sporting a 9 percent increase in wholesale volume compared to 2012, showing "that dealers are effectively selling through any product they had remaining in inventory from 2012," CDF noted.
Posted by Mary Slepicka