One analyst believes that 500 car dealers shut shop at home

An analyst of automotive, Dennis DesRosiers, said he expected that 500 car dealers are closing shop in Canada over the next five years.

In spite of using $ 12 billion provided for in the federal budget Tuesday to allow consumers to finance the purchase of a new vehicle, the number of concessions three Detroit automakers will greatly reduce believes Mr. DesRosiers.

The analyst says the tightening credit market has hurt consumers and dealers as well as manufacturers. Especially as Ford, General Motors and Chrysler have too many dealers, he says.

Nevertheless, Huw Williams, the Corporation associations automotive retailers, has said about him to expect that 2009 will be a "solid" year for Canadian dealers.

The three North American automakers have all seen their market share decline in 2008.