VANCOUVER, B.C. — Penny Hargraves’ thriving Pilates and yoga studio went dark on March 16, the day British Columbia’s Provincial Health Officer, Dr. Bonnie Henry, banned all gatherings of more than 50 people in the province – a prelude to a province-wide stay-at-home order intended to stop the spread of COVID-19.

Then came the tricky business of managing bills that continue to mount even as business revenue dropped to zero. Her first call was to her landlord, who agreed to waive at least April’s rent as a sign of solidarity with Hargraves, who had taken over the studio operation several years earlier.

Next came a call to her Kia Motors dealer to discuss the monthly payment on Hargraves’ Nero Hybrid hatchback. Thankfully, the dealer was perfectly agreeable. Payments would be waved for at least the next two months. The customer service representative then signed off with a “good luck,” and a last reference to the 200 other Kia owners waiting to negotiate their own payment deferrals with her.

Thousands and thousands of Canadians will be familiar with Hargraves’ dilemma. One day the proprietor of a strong business with a loyal clientele, the next scrambling to manage an economic calamity triggered by a pandemic that, as it turns out, politicians, civil servants and health authorities knew was coming in some form to Canada since at least 2006.

Automakers and their dealers as a group have sprung into action, recognizing that the pandemic, severe and tragic as it is, will eventually be brought under control. Hard-hit economies will bounce back, too. How robustly and how quickly, however, remains a question.

In the meantime, automakers from Hyundai to Honda have put in place a variety of ways to help their customers through the pandemic. Hyundai Motor, for instance, recently launched a dedicated website HyundaiHelps.ca.

Don Romano, Hyundai Auto Canada president and CEO, describes the site as a single place where customers “can quickly see all the payment deferral options and the warranty extensions that we’ve applied to thousands of vehicles that were about to have their warranties come to term.”

Romano warns that the current situation is fluid, but for now, one-month payment deferrals are available for lease customers and three-month payment deferrals are there for financing customers. Lease customers in self-isolation can also defer their vehicle return by up to three months and for those vehicles with a warranty ending March 1, the warranty will be extended to May 31.

Honda Canada spokesman John Bordignon points to similar programs – lease and payment deferrals and so on – but also encourages Honda and Acura owners who have questions to call Honda directly at 1-800-387-5399 or by email at cs@honda.ca. Acura customers can get help at 1-866-899-4440 or concierge@acura.ca. A complete rundown of customer information can be found at  https://www.honda.ca/ and https://www.acura.ca/.

Indeed, a survey of Canadian automakers and dealers found all of them willing to find reasonable accommodation for customers struggling with the economic devastation brought on by the pandemic. Thomas Tetzlaff of Volkswagen Canada sums the state of the industry this way:

“We have a similar message to our customers from the landing page of our corporate website, which can be found at http://www.vw.ca.”

Carmakers and their dealers, at least on the surface, remain remarkably sanguine about the business crisis unfolding before them in real time. New vehicle sales in Canada dropped by nearly 50 per cent in March, year-on-year. Things will get worse, too. Analysts from DesRosiers Automotive Consultants to Scotiabank Global Economics expect April sales to all but collapse. At the height of the pandemic in China, new vehicle sales fell more than 80 per cent.

What does that mean in real sales numbers? Canadians looked poised to buy about two million new vehicles this year. At the current rate, Canadians may purchase as few as one million. Of course, what actually transpires will largely depend on how quickly the pandemic is brought to heel – allowing the economy to come back to life.

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