Nova Scotia

Global rental car shortage impacting Cape Breton tourism group

A shortage of rental cars means a Cape Breton tourism group had to tweak its plans to host some summer visitors.

Rental cars are in short supply in Cape Breton and elsewhere

The Canadian Automobile Association says a temporary shortage is being reported in the car rental industry due to a recent downturn in the number of people travelling that forced them to cut back on inventory. (Destination Cape Breton)

A global shortage of rental cars has caught a Cape Breton tourism group off guard. 

Terry Smith was looking to rent a few vehicles as part of a marketing campaign, but the CEO of Destination Cape Breton said he was surprised to learn that none were available. 

"It's an unexpected challenge that we're having to deal with," he said.

Smith said he was told rental vehicles are sold out until the end of August. 

It isn't just a problem in Cape Breton. 

Worldwide rental shortage

The shortage of rental vehicles is a global problem right now, said a senior staff member at the Canadian Automobile Association. 

Gary Howard, a senior spokesperson for CAA Atlantic, said the problem is related to the fact that so few people were travelling during the pandemic.   

"Suppliers have had to park a lot of their equipment and didn't want a whole lot of inventory sitting around and doing nothing," said Howard.

Gary Howard is the senior vice-president of marketing and communications for CAA Atlantic. (Submitted by Gary Howard)

He said now that travel is picking up again, companies are seeing a sudden spike in demand and are working hard to fulfil those requests.  

"You can't just tell Ford to build 10,000 new cars tomorrow," he said. 

CBC News reached out to several rental agencies in Nova Scotia, but none responded to requests for an interview.

Enterprise Rent-A-Car offered a statement saying one of their biggest challenges is a global shortage of semiconductor chips  — the microchips used in cars, electronics and household appliances. The shortage has limited the production of new vehicles.

"Enterprise, like the rest of the industry, is seeing increased demand for vehicles as more people begin traveling again," said spokesperson Lisa Martini. 

"If you're planning travel we encourage you to reserve a vehicle as early as possible. Providing flexible travel dates and branch pick up locations in your search may help increase your options."

Seeking alternatives

In Cape Breton, Smith says six social media influencers from Toronto, Ottawa and Montreal are scheduled to tour the island, sampling its culinary and cultural wares.

But instead of having their own rental cars as planned, five will be driven around by staff members, and the sixth will bring their own vehicle.

For other visitors, Smith says the association is searching for other options that could help people get around.

Destination Cape Breton CEO Terry Smith says his group was surprised to learn there's a shortage of rental cars available. (Matthew Moore/CBC)

But he would not say exactly what those options could be. 

He says traffic on the Destination Cape Breton website is up 124 per cent up over 2019 levels. People want to come to the island, but without rental vehicles available, it could be challenging. 

"We're going to do our best, but Cape Breton is a destination where you do need some transportation for the most part to get around," he said.

ABOUT THE AUTHOR

Erin Pottie

Reporter

Erin Pottie is a CBC reporter based in Sydney. She has been covering local news in Cape Breton for 17 years. Story ideas welcome at [email protected].