The sale of sport utility vehicles in North America plummeted last month, as gas prices rose above $1 a litre across most of Canada and to $3 US a gallon south of the border.

Gas prices were pushed up by fears of fuel shortages in the wake of hurricanes Katrina and Rita, which disturbed operations at gas refineries along the U.S. Gulf Coast.

Sales of large SUVs were down 50 per cent last month in Canada from levels recorded a year earlier, according to data released by automakers on Monday.

Industry analyst Dennis DesRosiers says gas prices were not the only factor affecting the sale of SUVs.

"Gas is obviously the core, but also the heavy incentives and the employee discounts this summer were primarily on SUVs as well. So an awful lot of consumers pre-bought through the summer," DesRosiers told CTV's Canada AM.

Sales of luxury SUVs, which have in the past been resistant to rising gas prices, also dipped.

The Windsor, Ont.-built Chrysler Pacifica slumped 24 per cent in the U.S. market. And the Ontario-made RX330 for Toyota's Lexus division went down 17 per cent in Canada.

In what DesRosiers calls a silver lining, he said consumers are not going and buying a different type of vehicle. "They're just not buying."

DesRosiers also predicts that if gas prices come back under $1, many consumers will go back to SUVs.

In the United States, where the SUV market is much larger than in Canada, declines were also seen last month.

General Motors Corp. and Ford Motor Co. -- which both rely on SUVs to make up the bulk of their profits -- saw sales of their SUVs slump about 50 per cent.

Meanwhile, Ford is set to announce financial restructuring plans this month that are expected to include plant closings and job cuts in the United States.

And GM is currently negotiating with the United Auto Workers union in the U.S. to find ways to trim soaring health-care costs.