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The Dodge Hornet concept pictured here demonstrates Chrysler's—and likely other automakers'—future approach to smaller, more fuel-efficient cars for the U.S. market.

The European automotive market has always boasted more smaller cars than the United States. If consumers believe fuel prices will remain high, the United States may see its automotive market become more like the European market with fewer large vehicles on the road and more small cars. Many small cars, especially front wheel-drive, four-cylinder cars, become a part of the compact-performance market niche when an enthusiast goes about modifying its look and performance.

The compact-performance market niche has been growing strong over the past decade, taking the position as the second-largest market niche in the specialty-equipment industry. Last year, the compact-performance market niche grew about 12% over 2006, according to SEMA research. The current state of the economy has caused shifts in consumer demand that may be permanent and not cyclical. This means that the supply may also take on a permanent change. Companies realize this problem and are investing money in permanent changes to align their supply with demand.

Motor Authority is reporting that Chrysler is also making several advances in the small-car field. Already confirmed for the U.S. is the new Versa hatch and sedan, which Chrysler is sourcing from Nissan, but a second smaller car based on the 2006 Dodge Hornet Concept is also in the works and will be launched in Europe and the United States by 2010.

Hopefully the new Versa will float Chrysler until they are able to meet new consumer preference with the Hornet. Automotive News is also reporting that Chrysler is idling the Dodge Ram pickup production plants in Mexico for two weeks.

Motor Authority is also reporting that Ford is going to retool U.S. truck plants to build Euro models. This is another bold change by an automaker that shows the quickness in the change in consumer preference towards smaller cars. Motor Authority states that “although Nissan hasn’t been as hard-hit by the downturn in the American car market as the domestic manufacturers, it is still moving to shift production from its Titan and Armada to the Altima sedan. Nissan’s May sales were up 8.4% across all models, but the Titan and Armada dropped over 50% each while the Altima climbed 43%.”

There will probably be an effect on the specialty-equipment market as consumer preferences rapidly change to smaller cars. The light-truck niche in the past has been the largest niche. The specialty-equipment market may see other niches, such as the compact-performance niche, begin to gain in market share. It is important for SEMA-member companies to pay attention to trend changes such as these because they could have a great impact on sales.

For more original SEMA market research, visit www.sema.org/research.

Sources: "Chrysler to build Hornet compact car," Stephen Downer, Motor Authority (June 11, 2008); "Chrysler idles Dodge Ram production in Mexico," Automotive News, June 13, 2008.

An India-based company with plans for significant growth in the auto (passenger car) service sector is looking for aftermarket accessories for its retail site. SEMA members with a product portfolio matching the criteria below are encouraged to respond:

• Off-the-shelf products that can be retailed from service outlets
• Easy-to-fit, either in shop or by the customer given appropriate instructions, DIY
• Identified as fast-moving retail products
• Universal fit (applicable across multiple makes and models)
• Relatively low cost (as suitable for a developing market)
• Among the products sought: 
  • gauges
  • sound systems
  • LCD video systems
  • MP3/DVD/CD
  • security system
  • on-board technology
  • antennas
  • cellular telephones and accessories
  • aluminum alloy/steel/forged and cast wheel and tire accessories (lug nuts, wheel studs, hubcaps and spinners)
  • racing accessories
  • lighting (halogen lamps)
  • graphics
  • ground effects
  • interior enhancements
  • lenses
  • sun visors, shades
  • power windows and door accessories
  • headlight/taillight covers
  • light bars
  • dashboards and covers
  • floor mats
  • seat covers and sheepskins
  • steering wheels and steering wheel covers
  • sunroofs
  • window film
  • ground effects
  • racks and spoilers
    

The firm is also looking to import high-quality aftermarket components for the various foreign makes/models available in India. Interested companies should send brief information on their company and products to Vijay Gummadi, vahan.carz@gmail.com.

Distributors, specialty automotive media and other members of industry recently met in Dubai, United Arab Emirates (UAE), at the Automechanika Middle East Show to foster the growing customization market in the UAE and the five other nations comprising the Gulf Coast region (Bahrain, Qatar, Kuwait, Saudi Arabia and Oman).

SEMA Vice President of Communications and Events Peter MacGillivray provided the audience an overview of the United States specialty market, as well as SEMA-crafted model legislation used to foster an open market for specialty products. 

SEMA representatives spoke at a recent seminar on the specialty-equipment market held in Dubai during the Automechanika Middle East Show.

MacGillivray also responded to questions about resources available to international buyers at the SEMA Show. Middle Eastern buyer attendance at the SEMA Show has grown steadily, reaching 163 in 2007.

Zlatko Mulabegovic, editor of Top Performance magazine, participated in the seminar and noted that “California is known to be one of world’s most stringent when it comes to emissions, noise pollution and illegal modifications. If a tuning product is legal in California, I'm convinced that it would be suitable for use in this part of the world, too."

From left: SEMA Director of International and Government Relations Linda Spencer; moderator and local radio announcer Michael Brightmore; Top Performance Editor Zlatko Mulabegovic; Supervisor of Certification Section, Conformity Assessment Department of the Gulf Standardization Organization (KSA) Waleed Abdullah Alsagr; and SEMA Vice President of Communications and Events Peter MacGillivray.

Key observations regarding specialty equipment and the vehicle market in the region include:

• High density of SUV and other American cars and light trucks.
• Sales of specialty products appear to be increasing.
• The local industry is seeking new ways to work together to foster communication with government officials. There are reports of police harassment regarding aftermarket parts subjectively determined to be "too loud." 
• The high level of disposable income in this region makes the Middle East an attractive market for both performance and styling customization.
  

The Indian government, recognizing the automotive sector as a key area of growth, has developed a comprehensive plan for industry growth. The vision as outlined is "to emerge as the destination of choice in the world for design and manufacture of automobiles and auto components with output reaching a level of $145 billion (USD), accounting for more than 10% of the GDP, and providing additional employment to 25 million people by 2016."    

A copy of the report is available at www.siamindia.com/upload/AMP.pdf.

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SEMA has now made it easier than ever for members to retrieve their passwords online as part of a continuous effort to ensure efficiency and provide a superior SEMA.org experience.
 
To retrieve a password, members must provide the e-mail address on file or select their company name from a provided list. Once a password request is submitted, an e-mail will be sent to the member company's primary contact on file for verification, update and approval.
 
Additional changes planned for SEMA.org include the ability to personalize the website and submit suggestions. A new search engine has already been implemented into the website.
 
“The SEMA website is a great way for members to monitor the activity of the specialty-equipment industry. I will definitely be among the first to take advantage of all the new changes,” said Tracie Nuñez, chair-elect of SEMA’s Street Performance Council, which will be presenting the SEMA Internet Symposium on July 25, 2008.
 
For any questions or comments, please contact Peter MacGillivray at PeterM@sema.org.
 
To retrieve your password, click here.

Emcee Dave McClelland hosts proceedings at the 2007 SEMA Installation Banquet & Gala Fundraiser.

More than 30 racers, including SEMA Chairman Jim Cozzie, Immediate Past Chairman Mitch Williams and representatives of the NHRA, Granatelli Motor Sports and more, are tuning up their pinewood dragsters and filling out the brackets for the inaugural SEMA Pinewood Drag Race Sponsored by Fellers and DUB Publishing. Part of SEMA's annual summer Installation Banquet & Gala Fundraiser, the Pinewood Drag Race features three classes—Stock, Modified, and Unlimited—to highlight the innovation and imagination of the specialty-equipment industry. The checkered flag will drop prior to the SEMA Hall of Fame recognition and fundraising activities.

Those interested in building a Pinewood Drag Race car with the children from Childhelp can join SEMA for a special trip to The Village of Childhelp West in Beaumont, California, where participants can help the kids sand, paint and assemble cars that will run in the Pinewood Drag Race. Contact Mike Spagnola at mike@streetsceneeq.com for details.

For further information about the race and its rules, click here.

Scheduled for Friday, July 25, the Installation Banquet & Gala Fundraiser serves to not only thank the association's outgoing Board members and welcome those newly elected, but also to announce the newest inductees into the SEMA Hall of Fame. This year's inductees are Raymond Bleiweis, Ben Nighthorse Campbell, Corky Coker and Bob Cook—an elite group of industry innovators and pioneers who have played a key role in the automotive specialty-equipment market.

This year's event is further underscored by a program of charitable fundraising activities that also includes a golf tournament and silent auction. Proceeds from all fundraising benefits SEMA's two chosen charities, Childhelp and Victory Junction Gang Camp. Childhelp aids victims of child abuse and originally began receiving support from wheel manufacturers in 1994; it now garners significant contributions from a wide range of industry businesses.

Victory Junction Gang Camp, founded in 2004 by Kyle and Pattie Petty in honor of their son Adam, has received support from the Light-Truck Accessory Alliance and others in the industry. Victory Junction uses camping experiences in its racing-themed facilities to enrich the lives of children who suffer from chronic medical conditions or illnesses.

Golf Tournament
The golf tournament begins at 7:00 a.m. on Friday, July 25, at the Strawberry Farms Golf Club in Irvine, California. SEMA council members are among those refining their game to challenge for the Council Cup Perpetual Trophy, a friendly competition among councils to prove who has the better hackers.

A special "Council Package" price of $2,000 (a $300 discount) is available for Council Cup competitors. The package includes four rounds of golf at the tournament and dinner for four at the annual banquet and gala charity auction, to be held that evening at the Irvine Hyatt Hotel. At least one active council member must participate in the golf tournament foursome to be eligible for this special pricing offer.

Any foursome consisting of two or more active council members will automatically be entered in the Council Cup Challenge representing their council (be sure to indicate on your registration form which council you are representing).

To register for the golf tournament, click here.

Tickets
Tickets and details for the SEMA Installation Banquet & Gala Fundraiser, including a schedule of activities, golf tournament entries and auction donation forms, are available at www.sema.org/gala or by contacting Lisa Moreno at lisam@sema.org or 909/396-0289, ext. 105.

Charity Auction
Finally, SEMA will host a live and silent auction during the banquet, with auction items ranging from sports memorabilia to a 2006 Victory motorcycle owned and donated by Kyle Petty. To donate an item, contact Tricia Ward at triciaw@sema.org. Some of the items include:


Kyle Petty's 2006 Victory Jackpot motorcycle. Donated by Kyle Petty Charity Ride.


Brett Favre-autographed Wilson football. Donated by Rick Rollins.


Gift certificate for a set (four) of Mickey Thompson truck tires up to 35 inches tall. Donated by Mickey Thompson Performance Tire.

Greer Black Dragster replica, 1:6 scale and over 28 inches long. Donated by GMP Die Cast.

Planet Hollywood, Las Vegas—3-day/2-night package. Donated by Planet Hollywood.

2x8 advertising space for one year on the guardwall of Virginia Motorsports Park's dragstrip, home of the Torco Racing Fuels NHRA Nationals. Donated by Virginia Motorsports Park.

Subaru Impreza Precision Diecast replica of the car that raced in the 2004 Super Taikyu Enurance Series in Japan.This 1/43-scale diecast is painstakingly detailed down the brake calipers and sponsor logos of the original (click here for more). Also offered is the E10 R/C drift car and the Wheely King 4x4 R/C monster truck. Donated by HPI Racing.

• (4) Saturday Top Eliminator Club tickets (TEC) and (1) TEC parking pass for either the 2008 Automobile Club of Southern California NHRA Finals or the 2009 Carquest Auto Parts NHRA Winternationals, VIP tour and a ride in the Full Throttle Express. Donated by NHRA.

• GPI (Great Plains Industries) Bulk Oil transfer pump, 115v and 16 quarts-per-minute flow rate. Includes hose, nozzle and suction pipe (intended use: dispensing non-flammable fluids, such as waste oil, hydraulic fluids, antifreeze and oil-based solvents). Mounts directly to tanks or barrels. Donated by GPI.

• (2) Half-hour golf lessons with pro Scott Miller at North Ranch Country Club, Westlake Village, California. Donated by Scott Miller/PGA.

• (2) daily tickets to any two days of the 2008 Chevron World Challenge Event (December 18–21, 2008) at Sherwood Country Club. For more details, click here. Donated by Joe Reda, Tiger Woods Foundation.

• Thermal Flex high-performance silicone hose (winning bidder contacts Thermal Flex for desired sizes and colors). Donated by Thermal Flex.

• A signed copy of How to Wire Your Hot-Rod by author Dennis Overholser. Donated by Dennis Overholser of Painless Performance.

• Lawrence Taylor-autographed football. Donated by Motorola.

• Peyton Manning-autographed football. Donated by Motorola.

• Motorola T305 portable Bluetooth hands-free kit. Donated by Motorola.

• Accura 1 Digital Tire Inflation Gauge. Donated by PCL Air Technology.

• GT Toolboxes Model 111 Toolbox Hutch, size 26 x 66 x 33 with 58,375 cu in volume. Donated by GT Toolboxes.

• (2) nights for two at Cibolo Creek Ranch, Big Bend, Texas. Meals included. Donated by Leer Truck Accessories Group/Cibolo Creek Ranch.

• 2006 Budweiser/Lucas Oil TF Team crew uniform shirt signed by Kenny and Brandon Bernstein. Donated by Kenny Bernstein Racing.

• Wireless remote control spotlight. Donated by Go Light, Inc.  
  

• (4) Safe-T-Boost, The Intelligent Booster Cable System, units. Donated by Autoeffex.com.

• Original pencil drawing of a post-war-styled hot rod going flat out on dry lake bed. Used as cover art of SEMA News magazine, May 2008. Donated by artist Colby Martin.
  

• Certificate for a World Class Driving Experience for a driver and passenger (restrictions apply). List of likely cars includes Audi R8, Ferrari F430 and Mercedes SLR McLaren. Donated by Source Interlink Media.

•  (6) Clean Breeze Truck Screens. Donated by Clean Breeze Truck Screens.

• "'55" Chevy neon clock. Donated by Southern Speed & Custom.

• The Ultimate "My Classic Car" Gift Pack: Premium "My Classic Car" goods, including a set of (6) Matchbox cars, DVD sets of 2006 and 2007 episodes, Legendary Fords DVD, autographed photo of Dennis Gage and more. Donated by Bradley David Productions.
  

• (4) tickets to Los Angeles Dodgers game (vs. Arizona Diamondbacks, August 2, 7 p.m.) at Dodger Stadium. Preferred parking included. Donated by Joe Sebergandio/Motor Media Inc.
  

• (2) complimentary dinners at Benihana at the Las Vegas Hilton. Donated by Las Vegas Hilton.
  

• (2) complimentary dinners at Casa Nicola Restaurant. Donated by Las Vegas Hilton.

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