Mon. Apr 27th, 2026

Auto Sales Drive January Retail Gains

Retail sales rose 1.1 percent to $70.7 billion in January, with most of the increase coming from vehicle sales.

Motor vehicle and parts dealers posted a 2.0 percent gain after a decline in December, while the used vehicle sales fell 3.0 percent.

Sales at gasoline stations edged down 0.4 percent.

Excluding autos and fuel, core retail sales increased 0.9 percent. Growth was led by general merchandise retailers, which recorded a fourth straight monthly increase, along with gains in sporting goods and hobby stores.

In contrast, food and beverage retailers saw a 0.6 percent decline. Lower sales at supermarkets drove the drop, suggesting some pullback in everyday spending.

Retail sales increased in every province. Alberta posted the largest gain at 3.5 percent, largely tied to vehicle sales. Ontario and Quebec recorded more modest increases.

Online sales rose 1.5 percent to $4.4 billion, representing 6.2 percent of total retail trade.

The January data shows retail growth remains tied to a few sectors, while spending in essential categories is less consistent.

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