Nov. 3 (Bloomberg) -- Auto sales in Canada rose 1.5 percent in October as demand for Toyota Motor Corp., Daimler AG and Volkswagen AG vehicles outweighed declines at General Motors Corp. and Ford Motor Co.

Sales of cars and light trucks climbed to 122,711 from 120,926 a year earlier, Richmond Hill, Ontario-based DesRosiers Automotive Consultants Inc. said today in an e-mailed statement.

Discounts may have encouraged consumers to splurge, said Dennis DesRosiers, president of the namesake consulting firm. The gain, which kept year-to-date figures 1.4 percent ahead of 2007, contrasts with the U.S., where auto demand dropped on reduced access to loans and a weaker economy.

``When you lower prices consumers take advantage of the deals and buy more,'' he said in the statement. ``But I must say that I am absolutely completely surprised by the Canadian performance.''

Combined sales at GM, Chrysler LLC and Ford fell 5.4 percent, led by GM's 6.1 percent decline and Ford's 10 percent drop. Sales of imported vehicles excluding those three automakers rose 8.8 percent, paced by a 68 percent jump at Audi and a 32 percent gain for Mercedes vehicles.

Toyota sales climbed 9.4 percent.

To contact the reporter on this story: Hugo Miller in Toronto on hugomiller@bloomberg.net.

Last Updated: November 3, 2008 15:35 EST