Thu, 01/31/2019 - 10:02

By SEMA Washington, D.C., Staff

The Bicameral Congressional Trade Authority Act of 2019 (the BCTAA) has been introduced in the U.S. House of Representatives and Senate to provide congress the ability to approve or disapprove of imposing tariffs based on national security concerns. SEMA supports the legislation, which provides necessary checks and balances to ensure that proper weighing of the overall national interest before tariffs or quotas go into effect.  

Under current law (Section 232 of the Trade Expansion Act of 1962), the U.S. Department of Commerce (DOC) conducts investigations with assistance from the U.S. Department of Defense. This Cold War-era trade statute delegated authority from Congress to the executive branch to put tariffs or quotas on imports that “threaten to impair” U.S. national security. If the DOC concludes that imports of certain goods threaten national security, the president may proclaim trade actions (tariffs, quotas, etc.) to adjust those imports. Historically, Section 232 actions have been limited in scope, targeting a few product lines. However, the current administration has used Section 232 more broadly—imposing sweeping 25% tariffs on foreign steel, 10% tariffs on imported aluminum, and threatening tariffs on auto imports.

Below is a summary the BCTAA:

  • Any potential tariffs that the president seeks to introduce pursuant to a Section 232 investigation would be submitted to Congress, which would then have 60 days to pass an approval resolution supporting the proposed action.
  • The bill clarifies the term “national security” in a way that limits Section 232 investigations to goods with applications in military equipment, energy resources and critical infrastructure needs. Lead investigative authority would be transferred to the Defense Department, with the DOC retaining a role in fashioning the appropriate remedy in the event of a positive investigative finding.
  • The bill puts the U.S. International Trade Commission (USITC) rather than the DOC in charge of the exclusion process for 232 actions. The USITC has extensive expertise in managing complex administrative procedures. Further, exclusions would be granted on a product-wide and not company-specific basis.
  • The bill would allow congress to reconsider tariffs and quotas which have been imposed under Section 232 within the last four years. Congress would be allowed to consider these actions and, if Congress determined not to pass an approval resolution within 75 days after enactment of the BCTAA, those tariffs and quotas would be repealed.

For details, contact Eric Snyder at erics@sema.org.

Thu, 01/31/2019 - 10:02

By SEMA Washington, D.C., Staff

The Bicameral Congressional Trade Authority Act of 2019 (the BCTAA) has been introduced in the U.S. House of Representatives and Senate to provide congress the ability to approve or disapprove of imposing tariffs based on national security concerns. SEMA supports the legislation, which provides necessary checks and balances to ensure that proper weighing of the overall national interest before tariffs or quotas go into effect.  

Under current law (Section 232 of the Trade Expansion Act of 1962), the U.S. Department of Commerce (DOC) conducts investigations with assistance from the U.S. Department of Defense. This Cold War-era trade statute delegated authority from Congress to the executive branch to put tariffs or quotas on imports that “threaten to impair” U.S. national security. If the DOC concludes that imports of certain goods threaten national security, the president may proclaim trade actions (tariffs, quotas, etc.) to adjust those imports. Historically, Section 232 actions have been limited in scope, targeting a few product lines. However, the current administration has used Section 232 more broadly—imposing sweeping 25% tariffs on foreign steel, 10% tariffs on imported aluminum, and threatening tariffs on auto imports.

Below is a summary the BCTAA:

  • Any potential tariffs that the president seeks to introduce pursuant to a Section 232 investigation would be submitted to Congress, which would then have 60 days to pass an approval resolution supporting the proposed action.
  • The bill clarifies the term “national security” in a way that limits Section 232 investigations to goods with applications in military equipment, energy resources and critical infrastructure needs. Lead investigative authority would be transferred to the Defense Department, with the DOC retaining a role in fashioning the appropriate remedy in the event of a positive investigative finding.
  • The bill puts the U.S. International Trade Commission (USITC) rather than the DOC in charge of the exclusion process for 232 actions. The USITC has extensive expertise in managing complex administrative procedures. Further, exclusions would be granted on a product-wide and not company-specific basis.
  • The bill would allow congress to reconsider tariffs and quotas which have been imposed under Section 232 within the last four years. Congress would be allowed to consider these actions and, if Congress determined not to pass an approval resolution within 75 days after enactment of the BCTAA, those tariffs and quotas would be repealed.

For details, contact Eric Snyder at erics@sema.org.

Thu, 01/31/2019 - 09:17

By SEMA Washington, D.C., Staff

The Issue

Exhaust
Beginning January 1, 2019, a motorist cited for violating the current California exhaust noise law can receive an immediate fine. Previously, motorists received what is known as a “fix-it” ticket, which allowed for 30 days to correct the violation.

California Assembly Bill (A.B.) 1824 was signed into law by then-Governor Jerry Brown in June of 2018 as part of the state’s budget process. The legislation amended how California law-enforcement officials may issue a citation for exhaust noise violations.

The bill has generated significant concern within the industry and enthusiast community, along with some misinformation. This document seeks to clarify the matter. Most notably, enactment of A.B. 1824 did not change existing laws pertaining to exhaust noise or the sale and installation of aftermarket exhaust systems in California. Here is the latest information:

Were California’s exhaust noise rules changed?

No. Exhaust systems installed on motor vehicles with a manufacturer’s gross vehicle weight rating of less than 6,000 lbs., other than motorcycles, may not exceed a sound level of 95 decibels when tested under Society of Automotive Engineers (SAE) test procedure J1492 (formerly J1169). This was not changed by A.B. 1824. 

Is it now illegal to install an aftermarket exhaust system on my vehicle?

No. The sale and installation of an aftermarket exhaust system remains legal in California so long as it does not exceed a sound level of 95 decibels when tested under SAE J1492 and complies with all other exhaust and safety laws and regulations.

How loud is 95 decibels?

According to Purdue University, a power lawnmower and jackhammer each produce approximately 100 decibels of noise.

If exhaust noise laws didn’t change, what did?

Now, a motorist cited for violating the current California exhaust noise law can receive an immediate fine. Previously, motorists received what is known as a “fix-it” ticket, which allowed for 30 days to correct the violation. 

What are my options if I get a ticket?

Consumers in receipt of a violation still have the option of seeking a certificate of compliance from the California Bureau of Automotive Repair (BAR) demonstrating that their exhaust emits no more than 95 decibels. This SEMA-sponsored program allows courts to dismiss citations for exhaust systems that have been tested and for which a certificate of compliance has been issued. The cost for the test is $108. 

Will BAR test my exhaust before I get a ticket?

No. BAR does not issue preemptive certificates of compliance.

If I get a ticket, will I get points on my license?

There are no points associated with violations of 27150(a) or 27151(a). 

Does the law apply to motorcycles?

Motorcycles have their own exhaust noise standards but are considered “motor vehicles” by the state and can be issued a ticket for noise. Motorcycles manufactured after 1985 may not exceed 80 decibels.

Does BAR test exhaust noise for motorcycles?

No. Motorcycle manufacturers and aftermarket motorcycle exhaust makers are required to certify compliance prior to sale. Motorcycles manufactured after 2013 or that have an aftermarket exhaust system manufactured after 2013 must have a U.S. Environmental Protection Agency label affixed to it to be operated in California. 

I’ve still got questions?

Contact Christian Robinson, SEMA’s director of state government affairs. 

Resources

BAR Certificate of Compliance

Thu, 01/31/2019 - 09:17

By SEMA Washington, D.C., Staff

The Issue

Exhaust
Beginning January 1, 2019, a motorist cited for violating the current California exhaust noise law can receive an immediate fine. Previously, motorists received what is known as a “fix-it” ticket, which allowed for 30 days to correct the violation.

California Assembly Bill (A.B.) 1824 was signed into law by then-Governor Jerry Brown in June of 2018 as part of the state’s budget process. The legislation amended how California law-enforcement officials may issue a citation for exhaust noise violations.

The bill has generated significant concern within the industry and enthusiast community, along with some misinformation. This document seeks to clarify the matter. Most notably, enactment of A.B. 1824 did not change existing laws pertaining to exhaust noise or the sale and installation of aftermarket exhaust systems in California. Here is the latest information:

Were California’s exhaust noise rules changed?

No. Exhaust systems installed on motor vehicles with a manufacturer’s gross vehicle weight rating of less than 6,000 lbs., other than motorcycles, may not exceed a sound level of 95 decibels when tested under Society of Automotive Engineers (SAE) test procedure J1492 (formerly J1169). This was not changed by A.B. 1824. 

Is it now illegal to install an aftermarket exhaust system on my vehicle?

No. The sale and installation of an aftermarket exhaust system remains legal in California so long as it does not exceed a sound level of 95 decibels when tested under SAE J1492 and complies with all other exhaust and safety laws and regulations.

How loud is 95 decibels?

According to Purdue University, a power lawnmower and jackhammer each produce approximately 100 decibels of noise.

If exhaust noise laws didn’t change, what did?

Now, a motorist cited for violating the current California exhaust noise law can receive an immediate fine. Previously, motorists received what is known as a “fix-it” ticket, which allowed for 30 days to correct the violation. 

What are my options if I get a ticket?

Consumers in receipt of a violation still have the option of seeking a certificate of compliance from the California Bureau of Automotive Repair (BAR) demonstrating that their exhaust emits no more than 95 decibels. This SEMA-sponsored program allows courts to dismiss citations for exhaust systems that have been tested and for which a certificate of compliance has been issued. The cost for the test is $108. 

Will BAR test my exhaust before I get a ticket?

No. BAR does not issue preemptive certificates of compliance.

If I get a ticket, will I get points on my license?

There are no points associated with violations of 27150(a) or 27151(a). 

Does the law apply to motorcycles?

Motorcycles have their own exhaust noise standards but are considered “motor vehicles” by the state and can be issued a ticket for noise. Motorcycles manufactured after 1985 may not exceed 80 decibels.

Does BAR test exhaust noise for motorcycles?

No. Motorcycle manufacturers and aftermarket motorcycle exhaust makers are required to certify compliance prior to sale. Motorcycles manufactured after 2013 or that have an aftermarket exhaust system manufactured after 2013 must have a U.S. Environmental Protection Agency label affixed to it to be operated in California. 

I’ve still got questions?

Contact Christian Robinson, SEMA’s director of state government affairs. 

Resources

BAR Certificate of Compliance

Thu, 01/31/2019 - 09:17

By SEMA Washington, D.C., Staff

The Issue

Exhaust
Beginning January 1, 2019, a motorist cited for violating the current California exhaust noise law can receive an immediate fine. Previously, motorists received what is known as a “fix-it” ticket, which allowed for 30 days to correct the violation.

California Assembly Bill (A.B.) 1824 was signed into law by then-Governor Jerry Brown in June of 2018 as part of the state’s budget process. The legislation amended how California law-enforcement officials may issue a citation for exhaust noise violations.

The bill has generated significant concern within the industry and enthusiast community, along with some misinformation. This document seeks to clarify the matter. Most notably, enactment of A.B. 1824 did not change existing laws pertaining to exhaust noise or the sale and installation of aftermarket exhaust systems in California. Here is the latest information:

Were California’s exhaust noise rules changed?

No. Exhaust systems installed on motor vehicles with a manufacturer’s gross vehicle weight rating of less than 6,000 lbs., other than motorcycles, may not exceed a sound level of 95 decibels when tested under Society of Automotive Engineers (SAE) test procedure J1492 (formerly J1169). This was not changed by A.B. 1824. 

Is it now illegal to install an aftermarket exhaust system on my vehicle?

No. The sale and installation of an aftermarket exhaust system remains legal in California so long as it does not exceed a sound level of 95 decibels when tested under SAE J1492 and complies with all other exhaust and safety laws and regulations.

How loud is 95 decibels?

According to Purdue University, a power lawnmower and jackhammer each produce approximately 100 decibels of noise.

If exhaust noise laws didn’t change, what did?

Now, a motorist cited for violating the current California exhaust noise law can receive an immediate fine. Previously, motorists received what is known as a “fix-it” ticket, which allowed for 30 days to correct the violation. 

What are my options if I get a ticket?

Consumers in receipt of a violation still have the option of seeking a certificate of compliance from the California Bureau of Automotive Repair (BAR) demonstrating that their exhaust emits no more than 95 decibels. This SEMA-sponsored program allows courts to dismiss citations for exhaust systems that have been tested and for which a certificate of compliance has been issued. The cost for the test is $108. 

Will BAR test my exhaust before I get a ticket?

No. BAR does not issue preemptive certificates of compliance.

If I get a ticket, will I get points on my license?

There are no points associated with violations of 27150(a) or 27151(a). 

Does the law apply to motorcycles?

Motorcycles have their own exhaust noise standards but are considered “motor vehicles” by the state and can be issued a ticket for noise. Motorcycles manufactured after 1985 may not exceed 80 decibels.

Does BAR test exhaust noise for motorcycles?

No. Motorcycle manufacturers and aftermarket motorcycle exhaust makers are required to certify compliance prior to sale. Motorcycles manufactured after 2013 or that have an aftermarket exhaust system manufactured after 2013 must have a U.S. Environmental Protection Agency label affixed to it to be operated in California. 

I’ve still got questions?

Contact Christian Robinson, SEMA’s director of state government affairs. 

Resources

BAR Certificate of Compliance

Thu, 01/31/2019 - 08:46

By SEMA Editors

Ford
Ford has announced its project-vehicle program for 2019.

Ford Motor Co. has announced its project-vehicle program for 2019. Complete information on the program is below. The first deadline is for project summaries on February 15. The one-page summary should include vehicle/theme, vehicle modifications, new products developed for the vehicle, promotional plan, and vehicle display location at the SEMA Show. 

2019 Ford Project Vehicle Program

Project Summary Submission Deadline: February 15, 2019
Proposal Submission Deadline: March 1, 2019
Award Recipient Notification Date: by May 1, 2019

All project vehicle requests must be submitted in two parts and meet the following Ford Aftermarket Project Vehicle Program criteria:

Part 1

Email a one-page project summary—must be received by February 15, 2019. Include bullet points for:

  • Vehicle/theme
  • Vehicle modifications
  • New-product development
  • Promotional plan
  • Vehicle display location at the 2019 SEMA Show

Part 2

Mail a detailed project proposal—must be received by March 1, 2019. Include details supporting the one-page project summary on company letterhead, a color rendering and past project vehicle examples.

Information on Ford vehicles is available at www.ford.com.

Ford Aftermarket Project Vehicle Program Criteria

Aftermarket companies requesting project vehicles should be:

  • A manufacturer or designer/restyler dedicated to supporting new-product development.
  • Financially capable and willing to spend promotional dollars.
  • Actively promoting the vehicle with their product(s) through an established marketing plan.
  • A current SEMA member.

Aftermarket companies receiving project vehicles must:

  • Feature the vehicle in a booth at the 2019 SEMA Show in Las Vegas.
  • Use Ford accessory products as specified and provided by Ford Motor Company.
  • Register and keep the vehicle in your company name during the entire contract period.
  • Purchase and maintain $3 million in general liability, $3 million in automotive liability, $1 million in employer liability and demonstrate worker’s compensation coverage. An umbrella policy may be used to achieve coverage limits.
  • Commit to feature the vehicle with the Ford logo intact and visible.
  • Order a California-certified vehicle if you intend to register or use the vehicle primarily in California or any other state that has adopted California emissions standards. Failure to do so may subject you to a state fine.
  • Make vehicles available to Ford or its dealers for display, at the owner’s discretion.
  • Submit written quarterly status reports for a period of 18 months, as specified in the contract, stating:

1. Product development
2. Modifications to the vehicle
3. Events (including dates, location and type of event)
4. Media exposure (originals or color copies)
5. Company advertising featuring the vehicle
6. Social-media exposure
7. A copy of your current vehicle registration

Information on the specific vehicles Ford plans to emphasize at the 2019 SEMA Show will follow in January. Details will be provided to allow you to research those products and find high-resolution images for renderings.

Submit Ford Project Vehicle proposals to:

Ford Motor Co.
21175 Oakwood Blvd., PDCDC MD579
Dearborn, MI 48124
Attn: Dan German and Kyle Ebner
semainfo@ford.com

Thu, 01/31/2019 - 08:46

By SEMA Editors

Ford
Ford has announced its project-vehicle program for 2019.

Ford Motor Co. has announced its project-vehicle program for 2019. Complete information on the program is below. The first deadline is for project summaries on February 15. The one-page summary should include vehicle/theme, vehicle modifications, new products developed for the vehicle, promotional plan, and vehicle display location at the SEMA Show. 

2019 Ford Project Vehicle Program

Project Summary Submission Deadline: February 15, 2019
Proposal Submission Deadline: March 1, 2019
Award Recipient Notification Date: by May 1, 2019

All project vehicle requests must be submitted in two parts and meet the following Ford Aftermarket Project Vehicle Program criteria:

Part 1

Email a one-page project summary—must be received by February 15, 2019. Include bullet points for:

  • Vehicle/theme
  • Vehicle modifications
  • New-product development
  • Promotional plan
  • Vehicle display location at the 2019 SEMA Show

Part 2

Mail a detailed project proposal—must be received by March 1, 2019. Include details supporting the one-page project summary on company letterhead, a color rendering and past project vehicle examples.

Information on Ford vehicles is available at www.ford.com.

Ford Aftermarket Project Vehicle Program Criteria

Aftermarket companies requesting project vehicles should be:

  • A manufacturer or designer/restyler dedicated to supporting new-product development.
  • Financially capable and willing to spend promotional dollars.
  • Actively promoting the vehicle with their product(s) through an established marketing plan.
  • A current SEMA member.

Aftermarket companies receiving project vehicles must:

  • Feature the vehicle in a booth at the 2019 SEMA Show in Las Vegas.
  • Use Ford accessory products as specified and provided by Ford Motor Company.
  • Register and keep the vehicle in your company name during the entire contract period.
  • Purchase and maintain $3 million in general liability, $3 million in automotive liability, $1 million in employer liability and demonstrate worker’s compensation coverage. An umbrella policy may be used to achieve coverage limits.
  • Commit to feature the vehicle with the Ford logo intact and visible.
  • Order a California-certified vehicle if you intend to register or use the vehicle primarily in California or any other state that has adopted California emissions standards. Failure to do so may subject you to a state fine.
  • Make vehicles available to Ford or its dealers for display, at the owner’s discretion.
  • Submit written quarterly status reports for a period of 18 months, as specified in the contract, stating:

1. Product development
2. Modifications to the vehicle
3. Events (including dates, location and type of event)
4. Media exposure (originals or color copies)
5. Company advertising featuring the vehicle
6. Social-media exposure
7. A copy of your current vehicle registration

Information on the specific vehicles Ford plans to emphasize at the 2019 SEMA Show will follow in January. Details will be provided to allow you to research those products and find high-resolution images for renderings.

Submit Ford Project Vehicle proposals to:

Ford Motor Co.
21175 Oakwood Blvd., PDCDC MD579
Dearborn, MI 48124
Attn: Dan German and Kyle Ebner
semainfo@ford.com

Thu, 01/24/2019 - 18:08

By Kyle Cheng

Industry Indicators
In December, the economy added 312,000 new jobs—well above both average and expectations.

Want more information on the trends affecting the specialty automotive aftermarket? Check out the January “SEMA Industry Indicators” report to learn how movements in the broader economy may impact business strategies for 2019. 

The report, published monthly, features a snapshot of the overall economy and specialty-equipment industry, including:

  • Overall economic outlook
  • New-vehicle sales and gas prices
  • Consumer sentiment and spending
  • Economic growth and unemployment
  • Other important industry insights

Download the latest “SEMA Industry Indicators” report and much more today at www.sema.org/research.

Also available from SEMA Market Research:

The world is changing. Amid trade uncertainty and shifts in the automotive market, do you have the information you need to move your business into the future? Want to know what economic, consumer and industry trends are in store for the next few years? Explore this in the new “SEMA Future Trends Report,” also available at www.sema.org/research.

 

 

Thu, 01/24/2019 - 18:08

By Kyle Cheng

Industry Indicators
In December, the economy added 312,000 new jobs—well above both average and expectations.

Want more information on the trends affecting the specialty automotive aftermarket? Check out the January “SEMA Industry Indicators” report to learn how movements in the broader economy may impact business strategies for 2019. 

The report, published monthly, features a snapshot of the overall economy and specialty-equipment industry, including:

  • Overall economic outlook
  • New-vehicle sales and gas prices
  • Consumer sentiment and spending
  • Economic growth and unemployment
  • Other important industry insights

Download the latest “SEMA Industry Indicators” report and much more today at www.sema.org/research.

Also available from SEMA Market Research:

The world is changing. Amid trade uncertainty and shifts in the automotive market, do you have the information you need to move your business into the future? Want to know what economic, consumer and industry trends are in store for the next few years? Explore this in the new “SEMA Future Trends Report,” also available at www.sema.org/research.

 

 

Thu, 01/24/2019 - 16:34

By Katie Hurst

Jeep Build
Last year’s customized ’15 Jeep Wrangler Unlimited build, auctioned through Bring A Trailer, raised $56,175.

In 2018, SEMA partnered with Santa Fe Early College Opportunities (Santa Fe ECO) High School for a pilot vehicle build program, which was aimed at high school auto shops, and offered students real-world auto tech skills while promoting the interest and knowledge of young people in accessorization and customization.

SEMA funded the project, including the ’15 4WD Jeep Wrangler Unlimited, while ECO modified the Jeep and developed a written curriculum and a how-to guide intended to be used for similar projects in other secondary schools across the nation.

The automotive specialty-equipment industry backed the build by donating parts for students to install on the Jeep. The fully customized Jeep was auctioned through Bring A Trailer in June 2018 for a total of $56,175. Proceeds will go toward the funding of a second vehicle build for the school.

SEMA is again partnering with Santa Fe ECO, along with four additional high schools in 2019 for a total of five vehicle builds. Partnering high schools include:

  • C.D. Hylton High School – Woodbridge, Virginia
  • Comstock High School – Kalamazoo, Michigan
  • R.L. Turner High School – Carrollton, Texas
  • Santa Fe Early College Opportunities High School – Santa Fe, New Mexico
  • Santa Ynez Valley Union High School – Santa Ynez, California

The students will customize Jeep Wranglers between the ’96–’06 model years with aftermarket products. All five customized vehicles will be auctioned at the end of the school year to fund the continued expansion of the program.

SEMA is looking for sponsors to support the 2019 builds. If you are interested in sponsoring one or more of SEMA’s high school vehicle builds, fill out a sponsor interest form or contact Katie Hurst, SEMA youth engagement programs manager, at katieh@sema.org.