By Kyle Cheng

Check out the “SEMA Industry Indicators Report” each month to learn how movements in the broader economy may impact your business strategy.

A lot has happened in the last 30 days, and a lot more will over the next few months. Due to the availability and lag in government economic data, the true effects of the coronavirus won’t start to be realized until next month’s “SEMA Industry Indicators Report.” That said, economic data through February actually looked pretty good—if only it was still February.

What started as a supply disruption (given production closures in China) has quickly become a demand disruption (as consumers are staying home). The depth of this demand falloff remains to be seen and we will start to get glimpses of its true effects in the coming months. With individuals traveling less, auto sales are likely to be significantly weaker through 2020. Only time will tell.

Want more information on the trends affecting the specialty-equipment industry? Check out the “SEMA Industry Indicators Report” each month to learn how movements in the broader economy may impact your business strategy. In this report, published monthly, you’ll get a snapshot of the overall economy and our industry, including:

• Overall economic outlook.
• New-vehicle sales and statistics on auto-parts production.
• Consumer sentiment and spending.
• Economic growth and unemployment.
• Other important industry insights.

To learn more, download the March “SEMA Industry Indicators Report,” now available for free at www.sema.org/research.

By Kyle Cheng

Check out the “SEMA Industry Indicators Report” each month to learn how movements in the broader economy may impact your business strategy.

A lot has happened in the last 30 days, and a lot more will over the next few months. Due to the availability and lag in government economic data, the true effects of the coronavirus won’t start to be realized until next month’s “SEMA Industry Indicators Report.” That said, economic data through February actually looked pretty good—if only it was still February.

What started as a supply disruption (given production closures in China) has quickly become a demand disruption (as consumers are staying home). The depth of this demand falloff remains to be seen and we will start to get glimpses of its true effects in the coming months. With individuals traveling less, auto sales are likely to be significantly weaker through 2020. Only time will tell.

Want more information on the trends affecting the specialty-equipment industry? Check out the “SEMA Industry Indicators Report” each month to learn how movements in the broader economy may impact your business strategy. In this report, published monthly, you’ll get a snapshot of the overall economy and our industry, including:

• Overall economic outlook.
• New-vehicle sales and statistics on auto-parts production.
• Consumer sentiment and spending.
• Economic growth and unemployment.
• Other important industry insights.

To learn more, download the March “SEMA Industry Indicators Report,” now available for free at www.sema.org/research.

By SEMA Editors

The following candidates are vying for a seat on the SEMA Board of Directors:

Distributors/Retailers (one open seat):

• John Evankovich – Director, Sam’s Club
• Ted Wentz III – CEO, Quadratec, Inc.

Voting will take place online between May 12–May 26 and is open to current SEMA-member companies. Votes must be cast by each company’s primary contact. Details on the upcoming election will be sent to the member company’s designated primary contact beginning April 30. Winners will be announced by May 29 and formally inducted into the SEMA Board of Directors at the SEMA Installation & Gala,  July 24, 2020.

By SEMA Editors

The following candidates are vying for a seat on the SEMA Board of Directors:

Distributors/Retailers (one open seat):

• John Evankovich – Director, Sam’s Club
• Ted Wentz III – CEO, Quadratec, Inc.

Voting will take place online between May 12–May 26 and is open to current SEMA-member companies. Votes must be cast by each company’s primary contact. Details on the upcoming election will be sent to the member company’s designated primary contact beginning April 30. Winners will be announced by May 29 and formally inducted into the SEMA Board of Directors at the SEMA Installation & Gala,  July 24, 2020.

By Fredy Ramirez

The SEMA Data Co-op (SDC) is “data central” for hundreds of specialty parts brands, representing millions of part numbers and tens of millions of vehicle applications. Created by SEMA, the SDC is the definitive, industry-owned and -operated centralized data repository, complete with a comprehensive set of online data management tools.

The product releases below are from SEMA members who are also part of the SDC at the the Bronze, Silver, Gold or Platinum level. Learn more about the SDC at www.semadatacoop.org.

SDC members are invited to submit new-product press releases for consideration to editors@sema.org.

Hyper Kinnetic Wheels Holley announces the release of its Hyper Kinnetic Magnum wheels. The wheels are manufactured from cast aluminum with black powdercoated inserts and deep diamond machined lip clear powdercoated for durability and low maintenance. The wheels fit: ’73–’76 Mopar A-Body, ’62–’74 Mopar B-Body, ’70–’74 Mopar E-Body, ’65–’73 Mustang with 5-lug bolt pattern, ’67–’73 Cougar, ’64–’71 Falcon with 5-lug bolt pattern, ’62–’71 Fairlane and Torino, ’64–’71 Ranchero, ’70–’77 Maverick, ’64–’71 Cyclone, ’64–’65; ’71–’77 Comet with 5-lug bolt pattern, ’68–’74 Javelin and ’68 –’70 AMX. The recommended tire size is 205/55R17. 866-464-6553 www.holley.com PN: Vary
MR. Gasket Electric Transfer Pump MR. Gasket has released its electric powered transfer pump for any 120V outlet. The pump is designed to output up to 4.2 gpm. The pump is constructed to be compatible with gasoline, E85, ethanol, methanol, diesel, DEF (diesel exhaust fluid or AdBlue), kerosene, washer fluid, detergent, water (non-potable), water-based media, agricultural chemicals and light oils. The discharge hose is 6.5 ft. long. Note: This pump is not compatible with acids, alkalis, corrosive media, solvents, acetone, lacquer, mineral oils, turpentine, heavy oil or drinking water. 866-464-6553 www.holley.com PN: 8017MRG
Hooker Blackheart Header Back Exhaust System Hooker BlackHeart introduces its Header Back Exhaust System for the 4.6L ’05-’09 Mustang GT. The system is designed for use with BlackHeart Long-tube Headers. It is built with 3-in. 304SS tubing, has an X-pipe and high-flow straight-through mufflers engineered to produce an aggressive tone. The system is manufactured to be lighter than OE by 18% or 11 lbs. Note: This product is not street-legal and may only be used on race vehicles that must be used exclusively for racing or other forms of competition. Race vehicles must not be registered and must never be used on the street. It is illegal to install this product on a registered vehicle and use it on the street. 866-464-6553 www.holley.com PN: 70503342-RHKR
Klein Jeep Wrangler TJ & LJ Onboard Air System With Train Horn Kleinn Air Horns has released a vehicle-specific Onboard Air System and Train Horn for the ’97–’06 Jeep Wrangler TJ and ’04–’06 LJ models. This kit it is designed for the TJ and LJ owner who wants a loud air horn without a heavy-duty onboard air system. The kit includes a Kleinn 120-psi air compressor, 0.5-gal. air tank and Model 102-1 black dual air horn. The system is manufactured to be capable of powering air lockers as well as honking the 152-decibel air horn.  520-579-1531 www.kleinn.com PN: TJ102
CURT Rambler Tow Bar CURT Manufacturing introduces its Rambler Steel RV Tow Bar. The bar features an automatic locking mechanism, three stowing positions and slide-resistant arms designed for better control and handling. The bar is constructed to weigh less than 40 lbs. while providing a towed vehicle capacity of 7,500 lbs. 877-287-8634 www.curtmfg.com PN: #70001

By Fredy Ramirez

The SEMA Data Co-op (SDC) is “data central” for hundreds of specialty parts brands, representing millions of part numbers and tens of millions of vehicle applications. Created by SEMA, the SDC is the definitive, industry-owned and -operated centralized data repository, complete with a comprehensive set of online data management tools.

The product releases below are from SEMA members who are also part of the SDC at the the Bronze, Silver, Gold or Platinum level. Learn more about the SDC at www.semadatacoop.org.

SDC members are invited to submit new-product press releases for consideration to editors@sema.org.

Hyper Kinnetic Wheels Holley announces the release of its Hyper Kinnetic Magnum wheels. The wheels are manufactured from cast aluminum with black powdercoated inserts and deep diamond machined lip clear powdercoated for durability and low maintenance. The wheels fit: ’73–’76 Mopar A-Body, ’62–’74 Mopar B-Body, ’70–’74 Mopar E-Body, ’65–’73 Mustang with 5-lug bolt pattern, ’67–’73 Cougar, ’64–’71 Falcon with 5-lug bolt pattern, ’62–’71 Fairlane and Torino, ’64–’71 Ranchero, ’70–’77 Maverick, ’64–’71 Cyclone, ’64–’65; ’71–’77 Comet with 5-lug bolt pattern, ’68–’74 Javelin and ’68 –’70 AMX. The recommended tire size is 205/55R17. 866-464-6553 www.holley.com PN: Vary
MR. Gasket Electric Transfer Pump MR. Gasket has released its electric powered transfer pump for any 120V outlet. The pump is designed to output up to 4.2 gpm. The pump is constructed to be compatible with gasoline, E85, ethanol, methanol, diesel, DEF (diesel exhaust fluid or AdBlue), kerosene, washer fluid, detergent, water (non-potable), water-based media, agricultural chemicals and light oils. The discharge hose is 6.5 ft. long. Note: This pump is not compatible with acids, alkalis, corrosive media, solvents, acetone, lacquer, mineral oils, turpentine, heavy oil or drinking water. 866-464-6553 www.holley.com PN: 8017MRG
Hooker Blackheart Header Back Exhaust System Hooker BlackHeart introduces its Header Back Exhaust System for the 4.6L ’05-’09 Mustang GT. The system is designed for use with BlackHeart Long-tube Headers. It is built with 3-in. 304SS tubing, has an X-pipe and high-flow straight-through mufflers engineered to produce an aggressive tone. The system is manufactured to be lighter than OE by 18% or 11 lbs. Note: This product is not street-legal and may only be used on race vehicles that must be used exclusively for racing or other forms of competition. Race vehicles must not be registered and must never be used on the street. It is illegal to install this product on a registered vehicle and use it on the street. 866-464-6553 www.holley.com PN: 70503342-RHKR
Klein Jeep Wrangler TJ & LJ Onboard Air System With Train Horn Kleinn Air Horns has released a vehicle-specific Onboard Air System and Train Horn for the ’97–’06 Jeep Wrangler TJ and ’04–’06 LJ models. This kit it is designed for the TJ and LJ owner who wants a loud air horn without a heavy-duty onboard air system. The kit includes a Kleinn 120-psi air compressor, 0.5-gal. air tank and Model 102-1 black dual air horn. The system is manufactured to be capable of powering air lockers as well as honking the 152-decibel air horn.  520-579-1531 www.kleinn.com PN: TJ102
CURT Rambler Tow Bar CURT Manufacturing introduces its Rambler Steel RV Tow Bar. The bar features an automatic locking mechanism, three stowing positions and slide-resistant arms designed for better control and handling. The bar is constructed to weigh less than 40 lbs. while providing a towed vehicle capacity of 7,500 lbs. 877-287-8634 www.curtmfg.com PN: #70001

By SEMA Washington, D.C., Staff

The U.S. Senate passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), H.R. 748, which has been referred to the U.S. House of Representatives for its consideration. The $2.2 trillion package would provide sweeping relief to individuals and companies, including small businesses, and distressed industries. The CARES Act would:

• Provide $349 billion to guarantee private-sector loans through the U.S. Small Business Administration’s (SBA) existing 7(a) loan program for employers with fewer than 500 employees companies. SBA loan amounts under the bill (referred to as Paycheck Protection Program loans) would equal 250% of monthly payroll (capped at $10 million), which can be used to cover payroll, mortgages, rent, and other specified expenses. The bill waives collateral and personal guarantee requirements in addition to borrower and lender fees, defers payments for one year, and caps the interest rate on loans at 4%. Important: The SBA would forgive the portion of the loans used to cover payroll, mortgage interest, rent payments, and the cost of utilities for a period of eight weeks if small businesses retain their employees and payroll levels. Companies looking to apply for 7(a) loans are encouraged to visit Lender Match, a free online referral tool that connects small businesses with participating SBA-approved lenders within 48 hours.
• Provide $17 billion for the SBA to pay all principal, interest and fees on all new and existing SBA loan products including 7(a), Community Advantage, 504, and Microloan programs for six months (does not apply to Paycheck Protection Program loans listed above).
• Provide cash payments of up to $1,200 per individual with an adjusted gross income (AGI) of up to $75,000, $2,400 for married couples filing jointly with an AGI of up to $150,000, and $500 for each child. Cash payments are decreased for individuals and couples with incomes more than those amounts and are completely phased-out for single filers with incomes exceeding $99,000, head of household filers earning more than $136,500 and joint filers earning more than $198,000. 
• Help unemployed and furloughed workers by providing an additional $600 per week payment per recipient of unemployment insurance or Pandemic Unemployment Assistance for up to four months. 
• Provide $150 billion for hospitals and health care facilities, $150 billion to state and local governments and $500 billion to the U.S. Department of the Treasury to provide collateralized loans and loan guarantees to eligible entities in distressed industries, including airlines, cargo airline businesses and firms deemed critical to national security. 

Other provisions benefitting small businesses include:

• Provides employers with a refundable payroll tax credit for 50% of the first $10,000 of compensation, including health benefits, paid by employers to employees during the COVID-19 crisis (for wages paid from March 13, 2020, through December 31, 2020). The credit is available to employers whose operations were fully or partially suspended, due to a COVID-19-related shut-down order, or gross receipts declined by more than 50% when compared to the same quarter in the prior year. For employers with more than 100 full-time employees, qualified wages are wages paid to employees when they are not providing services due to the COVID-19-related circumstances described above. For employers with 100 or fewer full-time employees, all employee wages qualify for the credit, whether the employer is open for business or subject to a shut-down order.
• Allow employers and self-employed individuals to defer payment of the employer share of the Social Security tax with half of the amount to be paid by December 31, 2021, and the other half by December 31, 2022.
• Modify net operating loss limitations for corporations, allowing any loss for tax years 2018, 2019 or 2020 to be carried back five years. It would modify the loss limitation applicable to pass-through businesses and sole proprietors, so they can utilize excess business losses and access critical cash flow to maintain operations and payroll for their employees. 
• Temporarily increase the amount of interest expense businesses can deduct on their tax returns, increasing the 30% limitation to 50% of the taxable income (with adjustments) for 2019 and 2020. 
• Allow retailers to deduct the entire cost of renovating their store(s) in a single year instead of having to depreciate those improvements over the 39-year life of the building. 

For more information, contact Eric Snyder at erics@sema.org.

For additional information about SBA loans, a 50-state tracking guide on shelter-in-place orders, and other Coronavirus information, visit www.sema.org/coronavirus.

By SEMA Washington, D.C., Staff

The U.S. Senate passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), H.R. 748, which has been referred to the U.S. House of Representatives for its consideration. The $2.2 trillion package would provide sweeping relief to individuals and companies, including small businesses, and distressed industries. The CARES Act would:

• Provide $349 billion to guarantee private-sector loans through the U.S. Small Business Administration’s (SBA) existing 7(a) loan program for employers with fewer than 500 employees companies. SBA loan amounts under the bill (referred to as Paycheck Protection Program loans) would equal 250% of monthly payroll (capped at $10 million), which can be used to cover payroll, mortgages, rent, and other specified expenses. The bill waives collateral and personal guarantee requirements in addition to borrower and lender fees, defers payments for one year, and caps the interest rate on loans at 4%. Important: The SBA would forgive the portion of the loans used to cover payroll, mortgage interest, rent payments, and the cost of utilities for a period of eight weeks if small businesses retain their employees and payroll levels. Companies looking to apply for 7(a) loans are encouraged to visit Lender Match, a free online referral tool that connects small businesses with participating SBA-approved lenders within 48 hours.
• Provide $17 billion for the SBA to pay all principal, interest and fees on all new and existing SBA loan products including 7(a), Community Advantage, 504, and Microloan programs for six months (does not apply to Paycheck Protection Program loans listed above).
• Provide cash payments of up to $1,200 per individual with an adjusted gross income (AGI) of up to $75,000, $2,400 for married couples filing jointly with an AGI of up to $150,000, and $500 for each child. Cash payments are decreased for individuals and couples with incomes more than those amounts and are completely phased-out for single filers with incomes exceeding $99,000, head of household filers earning more than $136,500 and joint filers earning more than $198,000. 
• Help unemployed and furloughed workers by providing an additional $600 per week payment per recipient of unemployment insurance or Pandemic Unemployment Assistance for up to four months. 
• Provide $150 billion for hospitals and health care facilities, $150 billion to state and local governments and $500 billion to the U.S. Department of the Treasury to provide collateralized loans and loan guarantees to eligible entities in distressed industries, including airlines, cargo airline businesses and firms deemed critical to national security. 

Other provisions benefitting small businesses include:

• Provides employers with a refundable payroll tax credit for 50% of the first $10,000 of compensation, including health benefits, paid by employers to employees during the COVID-19 crisis (for wages paid from March 13, 2020, through December 31, 2020). The credit is available to employers whose operations were fully or partially suspended, due to a COVID-19-related shut-down order, or gross receipts declined by more than 50% when compared to the same quarter in the prior year. For employers with more than 100 full-time employees, qualified wages are wages paid to employees when they are not providing services due to the COVID-19-related circumstances described above. For employers with 100 or fewer full-time employees, all employee wages qualify for the credit, whether the employer is open for business or subject to a shut-down order.
• Allow employers and self-employed individuals to defer payment of the employer share of the Social Security tax with half of the amount to be paid by December 31, 2021, and the other half by December 31, 2022.
• Modify net operating loss limitations for corporations, allowing any loss for tax years 2018, 2019 or 2020 to be carried back five years. It would modify the loss limitation applicable to pass-through businesses and sole proprietors, so they can utilize excess business losses and access critical cash flow to maintain operations and payroll for their employees. 
• Temporarily increase the amount of interest expense businesses can deduct on their tax returns, increasing the 30% limitation to 50% of the taxable income (with adjustments) for 2019 and 2020. 
• Allow retailers to deduct the entire cost of renovating their store(s) in a single year instead of having to depreciate those improvements over the 39-year life of the building. 

For more information, contact Eric Snyder at erics@sema.org.

For additional information about SBA loans, a 50-state tracking guide on shelter-in-place orders, and other Coronavirus information, visit www.sema.org/coronavirus.

By Ashley Reyes

Rory Connell of Advanced Accessory Concepts is featured as the first-ever TORA Volunteer Spotlight Member.

The SEMA Truck and Off-Road Alliance (TORA) has featured Rory Connell of Advanced Accessory Concepts as the first-ever TORA Volunteer Spotlight Member. As an active volunteer and industry advocate, Connell has been at the forefront of key SEMA initiatives, focusing many of his contributions on youth engagement and member connectivity.

Connell’s professional experience includes receiving his degree from Wyotech Automotive Technical School, which led to a career working on cars for West Coast Customs, Barry’s Speed Shop and Callaway Cars. Connell now works for a startup company and sees it as an opportunity to lead young people down a similar path to becoming connected to the industry.

Get to know Connell in his Q&A with the SEMA Truck and Off-Road Alliance:

SEMA: What inspired you to pursue a career in the truck and off-road industry?

Rory Connell: My first experience in the off-road world was on an ATC70 at around the age of 5. I fell in love with all things that have Knobby tires! Geographically I’ve also been very blessed to be raised and continue to live in Corona, California, which is well known as a hub for the automotive aftermarket and has an abundance of off-road product manufacturers.

SEMA: Why did you decide to volunteer for TORA? How has it or will it impact you?

RC: I am very fortunate to have been volunteering within SEMA for several years. When TORA was formed, I naturally gravitated toward this group, not only because of my business interest in the off-road segment, but also because of my personal passion for it. Having the opportunity to help shape and grow something you truly care about is the most rewarding part of any volunteer opportunity.

SEMA: What advice do you have for someone pursuing a career in the automotive aftermarket?

RC: With any job, it’s always easier to really love what you're doing. The automotive aftermarket is a prime example of an industry where someone who is passionate can thrive no matter what the circumstances. People desire most of the products we sell, but they don’t necessarily need it, which means we see a lot of feast or famine. Loving what you do makes the feast even greater and the famine bearable.

SEMA: What is your dream truck or off-road vehicle? Where would we find you in it on the weekend?

RC: If I won the lottery tomorrow I'd probably have a ridiculous ULTRA4 4400 car built to race Hammers. For a purely recreational vehicle, it would probably have to be a 4WD Luxury Pre-Runner of some sort to go blast the two track and still have climate control. On most weekends, I’m mainly in the Mojave Desert somewhere hiding from society, living my best life.

TORA members: Fill out this form to nominate yourself as a TORA Volunteer Spotlight Member for a chance to be featured in TORA’s social media and SEMA eNews.

Not a TORA member? Fill out this form to join today.

By Ashley Reyes

Rory Connell of Advanced Accessory Concepts is featured as the first-ever TORA Volunteer Spotlight Member.

The SEMA Truck and Off-Road Alliance (TORA) has featured Rory Connell of Advanced Accessory Concepts as the first-ever TORA Volunteer Spotlight Member. As an active volunteer and industry advocate, Connell has been at the forefront of key SEMA initiatives, focusing many of his contributions on youth engagement and member connectivity.

Connell’s professional experience includes receiving his degree from Wyotech Automotive Technical School, which led to a career working on cars for West Coast Customs, Barry’s Speed Shop and Callaway Cars. Connell now works for a startup company and sees it as an opportunity to lead young people down a similar path to becoming connected to the industry.

Get to know Connell in his Q&A with the SEMA Truck and Off-Road Alliance:

SEMA: What inspired you to pursue a career in the truck and off-road industry?

Rory Connell: My first experience in the off-road world was on an ATC70 at around the age of 5. I fell in love with all things that have Knobby tires! Geographically I’ve also been very blessed to be raised and continue to live in Corona, California, which is well known as a hub for the automotive aftermarket and has an abundance of off-road product manufacturers.

SEMA: Why did you decide to volunteer for TORA? How has it or will it impact you?

RC: I am very fortunate to have been volunteering within SEMA for several years. When TORA was formed, I naturally gravitated toward this group, not only because of my business interest in the off-road segment, but also because of my personal passion for it. Having the opportunity to help shape and grow something you truly care about is the most rewarding part of any volunteer opportunity.

SEMA: What advice do you have for someone pursuing a career in the automotive aftermarket?

RC: With any job, it’s always easier to really love what you're doing. The automotive aftermarket is a prime example of an industry where someone who is passionate can thrive no matter what the circumstances. People desire most of the products we sell, but they don’t necessarily need it, which means we see a lot of feast or famine. Loving what you do makes the feast even greater and the famine bearable.

SEMA: What is your dream truck or off-road vehicle? Where would we find you in it on the weekend?

RC: If I won the lottery tomorrow I'd probably have a ridiculous ULTRA4 4400 car built to race Hammers. For a purely recreational vehicle, it would probably have to be a 4WD Luxury Pre-Runner of some sort to go blast the two track and still have climate control. On most weekends, I’m mainly in the Mojave Desert somewhere hiding from society, living my best life.

TORA members: Fill out this form to nominate yourself as a TORA Volunteer Spotlight Member for a chance to be featured in TORA’s social media and SEMA eNews.

Not a TORA member? Fill out this form to join today.