Short on time? Here’s the 2-minute ‘Quick Takes’ of what we thought mattered most. But if you can carve out 5 minutes for the full story, we’ve broken down our mountain of notes from the CADA Summit (including OEM strategies, the truth about EV quotas, and the future of AI search) into a comprehensive roadmap for 2026. Trust us, you’ll want the full details on this one, so keep reading as it will only take you the time it takes to finish that Nespresso.
5 Key Takeaways from the 2026 CADA Summit Read
The 13th annual CADA Summit in Toronto wasn’t just a meeting of minds; it was a masterclass in resilience. With 3,400 Canadian franchise dealers represented, the message from OEM leaders, economists, and futurists was clear: Volatility is the new normal.
If you missed the sessions, here is the pulse of the industry as we head into the remainder of 2026. Also, we would highly recommend not missing the next one.
- The “Great Recalibration” of the Drivetrain
We’ve moved past the “EV or bust” honeymoon phase. Leaders from Toyota, GM, and Mercedes-Benz emphasized a multi-pathway approach. While 98% of Norway might be electric, the North American consumer is currently leaning into the Hybrid as a pragmatic bridge. The consensus? Let the customer decide the powertrain, but ensure the technology inside the cabin is “iPad-level” sophisticated. - Chinese EV Imports
A major talking point was the new 49,000-unit quota for Chinese EV imports. CADA leadership has been working tirelessly in Ottawa to ensure that this “ajar door” benefits the franchise system. The goal is to ensure that if new brands enter, they do so through established dealer networks, supporting local investment and employment. - Affordability is the North Star
From Nissan to Hyundai, every OEM head touched on the “affordability crunch.” With average transaction prices hovering near $57,000, the industry is pivoting toward “de-trimming” and re-introducing affordable entry points, like the return of the Chevy Bolt and Equinox. - Search is Changing: From SEO to GEO
Futurist Jim Carroll highlighted a major shift: the transition from traditional Search Engine Optimization (SEO) to Generative Engine Optimization (GEO). With more consumers using AI agents like ChatGPT and Claude for vehicle research, being “findable” now means ensuring your dealership’s data is accessible to these generative engines. Having a thoughtful and purposeful SEO strategy will continue to be the foundation to navigating the AI & GEO landscape. - Success is Found in the “Basics”
The Laureate Dealer panel reminded us that while technology defines the car, relationships define the sale. Success in 2026 comes down to “sleeves-up” operational discipline, community engagement, and empowering GMs to lead.
Still with us? Here’s the full recap…
The 13th annual CADA Summit in Toronto wasn’t just a conference; it was a survival briefing for 3,400 franchise dealers. Under the theme of resilience, the room was packed with OEM heads, economists, and futurists all trying to answer one question: Where do we go from here?
As an industry, we’ve moved past the post-pandemic “honeymoon” phase. We are now standing in the middle of a “Great Recalibration” where geopolitics, AI, and shifting consumer behavior have made the ground beneath our showrooms feel less stable than ever.
Here is our comprehensive breakdown of the insights from the floor, the fireside chats, and most importantly, the forecast for 2026.
The OEM “Quick Takes”
Moderator Jason Stein opened the day with rapid-fire insights from Canada’s leading manufacturers. The common thread? Scenario planning is now the daily reality.
Cyril Dimitris, President and CEO at Toyota Canada (TCI), shared that Toyota is leaning into its “customer-first” lens, praising the government for moving toward greenhouse gas standards rather than rigid mandates. Their win? The 100% hybrid RAV4 for 2026. Dimitris highlighted a “nurturing relationship” with the dealer network, emphasizing that even in uncertainty, organic, profitable growth is the goal.
Steve Rhind, President of Nissan Canada, said that Nissan is navigating the “interesting time” of US-built product pauses and tariff realities. Rhind emphasized the need for policy consistency to build a plan. With 25% tariffs on the horizon, Nissan is focusing on “elevation” and offering a range of trims to keep vehicles affordable while providing the content consumers are willing to pay for.
Steve Flamand, President and CEO of Hyundai Auto Canada, shared that their focus is on the “Blank Canvas.” From the Santa Cruz to the Ioniq 9, design is being driven by how families actually use vehicles (the “High Traction” areas of life). They are doubling down on the “XRT” brand to connect lifestyle with functionality.
Duncan Aldred, Senior Vice President and President of GM North America, discussed how GM is embracing volatility as an opportunity to react faster than the competition. Aldred’s mantra for 2026? Keep it simple. Focus on five priorities, keep communication transparent, and stay committed to the dealer partnership. GM is leaning heavily into its “OnStar” ecosystem, aiming for 1 million super-cruise-enabled vehicles by year-end.
The “Ajar Door” – Chinese EVs and the 49,000 Quota
Perhaps the most discussed topic was the recent trade agreement with China. CADA President Tim Reuss and the Public Affairs team provided a crucial “behind-the-curtain” look at the 49,000-unit annual quota for Chinese-made EVs.
With the quote favoring manufacturers with an existing presence, Tesla (which previously sourced from China for the Canadian market) is poised to benefit most in the short term. The CADA has proposed that quota access should be reserved only for companies that work through a franchised dealer network. This protects local investment and ensures that if a brand like BYD or Geely enters, it creates 50–60 local jobs per dealership.
Reuss noted that by 2030, 50% of the quota must be for EVs priced under $35,000. This “managed market entry” is a strategic move to address the affordability gap while protecting domestic manufacturing.
Economic Outlook – “Resilient but Restrained”
TD Bank Chief Economist Beata Caranci provided a sobering look at the numbers. While the US economy is gaining momentum, Canada remains “muted.”
Caranci advised dealers to ignore the “rattlesnake noise” of political posts and only focus when announcements become executive orders. Most tariff threats are negotiating tactics; total blanket tariffs of 100% are unlikely as they would “kill American affordability.”
Although Canadian wages are flat-lining compared to the US, leading to a “buyer’s market” in Ontario and BC, people are still buying cars over houses. The 2026 forecast remains stable at 1.9 million units. Caranci also noted that rates are likely to settle at around 2.25%, which isn’t a bad thing as going any lower would signal a recession and that is the one thing the automotive industry cannot afford (nor our economy in general).
From SEO to GEO
Futurist Jim Carroll delivered a wake-up call regarding the speed of change. In 2012, we were worried about the iPad. In 2026, we are worried about the death of search.
Carroll noted that he turned off his Google Ads because traffic is now coming from Generative AI (ChatGPT, Claude). While Dealerships can’t afford this luxury just yet, we know this is where consumers are spending their time and researching their next vehicle purchase. Ensuring that your dealership is findable via an AI agent is key, and how you go about it still requires thoughtful and purposeful SEO (Search Engine Optimization). The pivot from SEO to GEO (Generative Engine Optimization) isn’t something to be feared; it’s a strategy to embrace.
In our fast-paced world, it’s no surprise that Carroll touched on attention. The “Gen Alpha” buyer has a 1.5-second attention span. You have microseconds to capture interest. This extends beyond your social media and ads strategy and into your dealership’s digital processes with instant loan approvals (under 45 seconds) via a mobile device. While Carroll’s focus was on digital, we’d be remiss if we didn’t also highlight the importance of recognizing and evaluating how these experiences translate when a consumer contacts the dealership or walks in the showroom floor.
CADA Laureate Dealer Panel
The day ended with a powerful panel of CADA Laureates: Brent Ravelle, Michael Wyant, and Annie Laliberté. Their message was a reminder that in a high-tech world, high-touch still wins.
As dealer groups grow, owners are moving from “hands-on GMs” to “CEOs of people.” Wyant noted that his greatest satisfaction now comes from seeing his team succeed, not just hitting a number.
Community was a passionate topic amongst the panelists. With Laliberté and Ravelle emphasizing that being a “pillar of the community”, whether it’s hosting Santa in the showroom, volunteering time, or sponsoring a team, is what builds a recession-proof brand.
While the market is volatile, operating costs are no-doubt a top concern across the industry. The panel collectively questioned the future of “single-use” 3-acre plots. Could the future involve shared facilities and smaller, highly efficient service footprints? If there’s one thing we know for certain, the only constant is change. The operators and OEMs who are ready to manoeuvre those changes head on will continue to be resilient and push forward to what’s next.
If you made it this far, thanks for being here; we appreciate your time and attention. Our team is passionate about this industry and excited for what’s ahead. While there will be challenges to overcome for every side of the business, the thought leadership, innovation, and collaborative spirit we saw at this year’s CADA Summit prove that our industry is ready.
At sMedia, we’re committed to being the partner that helps you turn these industry shifts into measurable growth for your dealership. Whether the market brings new tech or new economic hurdles, we’ll be here to help you navigate the road ahead with transparency and data-driven insights.
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