SEMA News—February 2021

BUSINESS

Wheel and Tire Market Trends

Have Global Disruptions Slowed Momentum?

By Mike Imlay

Wheels and tires are more than essential vehicle components—they’re performance and style enhancers. Whether for street, track or trail, they’re among the easiest and most purposeful modifications an automotive enthusiast can undertake. With the right wheel-and-tire combo able to make all the difference for handling, confidence and ride enjoyment, it’s no wonder they have remained stalwart sellers for the aftermarket.

In fact, performance and special-purpose tires represent the largest sales category within the specialty-equipment tire market, according to the recently released “2020 SEMA Market Report.” From 2016 to 2019, the category’s market size grew from $2.22 billion to $2.54 billion. Of the application types in that total, midrange cars and pickups each took market shares of 19%, followed closely by sports cars (16%), SUVs (14%) and CUVs (11%).

Next to the performance category, off-road and plus-size tires are also strong performers, comprising a market total of $1.88 billion in 2019, up from $1.62 billion just three years prior. Pickup applications took the lion’s share of sales in that category, accounting for a massive 69% of purchasing. SUV applications followed at 22%.

Of course, tires are useless without wheels, and custom wheels as a category grew steadily in market size from a $1.21 billion valuation in 2016 to $1.32 billion in 2019. Again, pickup applications dominated in that category, comprising 40% of sales. Midrange vehicles followed at 10%, and SUVs at 13%. Although CUVs represent an increasingly popular vehicle category, their tire sales amounted to a mere 8% of market share.

Whatever the wheel or tire category, however, the storyline for the aftermarket over the past few years has been one of upward growth, with every expectation that the trajectory would continue well into 2021. But that was all before COVID-19.

According to Janine Young, a commissioning editor at Smithers Information, COVID-19 has dealt a series of critical disruptions to the global tire industry.

“The pandemic affected the global economy, collapsing vehicle and equipment production sales and usage as well as tire production and trade,” she said, adding that a recent Smithers market report, “The Future of Global Tires to 2024,” identified the following trends as likely to impact the industry for some time to come:

• The industry is experiencing its largest volume declines in decades, and conditions have been characterized as “exceptionally soft.”
• Recovery is expected to be slow, with lagging global resolution to the virus.
• The weakened economy, lack of consumer confidence and high global unemployment rates have resulted in a plunge in auto sales and aftermarket tire sales.
• In the supply chain, consumption of tire materials has dropped in line with tire manufacturing, creating declining prices for natural and synthetic rubber and other key commodities.
• R&D budgets and investments in new technologies are being curtailed to shore up other critical business functions.
• Changing consumer patterns, such as working from home and e-commerce, are likely to have a lasting effect on tire industry practices.
• Industry production levels will be impacted for the long-term, with implications for global supply chains.

“In general, replacement-tire demand will remain muted during the recovery,” Young said. “Passenger car, SUV and noncommercial light-truck vehicles and tires saw a slight bounce over the summer but will likely take three-plus years to again reach 2019 demand. Passenger-car, light-truck and medium- to heavy-duty trucks are most impacted by commercial and personal traffic reductions.”

Related Smithers research also now forecasts a slump in the prestige, luxury and high-performance passenger-tire categories as well.

“Tire segments that are more resilient are commercial van tires, due to the tremendous growth in last-mile delivery for e-commerce shopping, and motorcycle tires, due to their shorter replacement cycle,” Young explained. “A lowering of consumer purchasing power and transportation needs will favor motorcycles at the expense of entry-level car purchases in some areas, although less commuting will overall damage replacement-tire demand.”

How that will play out in the domestic wheel and tire aftermarket remains to be seen. As of fall 2020, many SEMA-
member companies reported stable sales after an initial spring 2020 dip.

SEMA Wheel & Tire Council (WTC) select committee member Ted Schlaack is a business consultant for RimTyme, a franchised network of sales and rental custom wheel and tire stores that is entering 2021 in relatively good shape. Schlaack believes that tire sales have been helped by improvements at every level of product, making lower-priced lines more attractive to consumers.

Atturo is another—they’re sales are holding up as well as a Nitto, Toyo or BFG. Everyone wants a big brand, but they don’t necessarily want the big price. We’re seeing better quality out of off-name brand products, helping get sales or rentals with a lower price. Of course, the big companies have always done a great job, and their tires are lasting as long as they have in the past.”

 

On the Wheel Side

Meanwhile, the wheel market now appears to be recovering after also taking a hit in spring 2020.

“In February, March and April, we lost a lot of business, then it roared back, and by October we were exceeding 2019 results and having a banner year in 2020,” Schlaack said. “At our price points, of course, our customers want as much as they can get for as little as they can get it. We’re selling mostly one piece cast. We do have some forged wheels, but I just haven’t seen them selling among our customers as much as our standard, more reliable cast wheels.”

Schlaack said that RimTyme consumers also seem to be holding their own amid a tough economy, spending on average what they did before the pandemic.

“They’ve had more cash in their pockets,” he said. “Even though we’re primarily a rent to own organization, we’re still a wheel shop that does about 40%–50% of our business in direct purchases. The consumers who rent to own want the same products at lower-end price points, but we’re getting weekly and monthly payments that equates to a fair price, helping them get products that they may have not been able to otherwise attain.”

In terms of what’s selling, Schlaack noted several popular trends.

“In the last couple of years, we’ve seen a massive increase in the off-road market, particularly with Jeeps, so our customers who were formerly getting vehicles with 28-, 30- and 32-in. tires are now driving off with 35-in. or larger tires,” he said. “We’ve also seen the car market start to come back recently—more lightweight wheels and high-performance tires. In reference to those, of course, chrome is in shortage for us and likely everyone in the industry right now with everything that’s going on this year, so we see a lot of colored, black-sheen and polished wheels in our markets.”

Malloy also noted that wheels manufactured by companies imbued with motorsports heritage are continually in demand.

“Track days have also gotten quite popular in the last five years,” he added. “The track-inspired look—aggressive but functional camber, lightweight wheels and proper-width tires—is here to stay.”

According to Malloy, consumer tastes are also driving a number of key manufacturing trends, with Japanese manufacturers now releasing more truck wheels and the entire industry perfecting the latest design and engineering technologies.

“Most performance enthusiasts work hard to reduce weight—especially the unsprung variety,” he observed. “Manufacturers with a rich motorsports heritage, such as BBS and Rays, continually push the limits of engineering to achieve the lightest but strongest wheel for street and track use. BBS shocked the world with the FI-R—a forged Y-spoke wheel with industry-first recesses in the actual spokes. It offered extreme strength, a proper load rating and low weight—a 20x12 wheel weighs 20.3 lbs. Shortly after, BBS released a forged-magnesium wheel program for street and track use in which a 20x12 weighs 18.6 lbs.

“The consumer now understands the difference between flow-formed cast wheels and traditional, low-pressure cast wheels. Flow-formed, flow-forged and radial-forged wheels are still cast but stronger and lighter. Also, the manufacturers can execute more complex designs when using that manufacturing process.”

In recent years, those more complex designs have been made increasingly possible with the assistance of additive-manufacturing—or 3-D printing.

At the SEMA360 trade event, Design Infini was a New Product Award runner-up with its Drifz D09 wheel. Founded by CEO Suny Chung in 1995, the company has helped to design and prototype wheels for a number of prominent brands, including Center Line, Gear and ATD Wheels. Now Chung and his team regularly employ an EnvisionTEC 3D printer to create their attention-grabbing concepts. According to Chung, a 3-D-printed prototype can be an invaluable tool to help clients rapidly grasp a new product design.

“We can visualize from a sketch because we’re trained, but some of our clients may not be able to,” Chung recently told 3D Printing Media Network, an additive manufacturing media outlet. “We have seven in-house designers. Our mission is to come up with designs and products that will lead the marketplace, and we always strive to be the best. It’s important for us to engage in today’s fast-moving technology. More and more, 3-D printing is going to be a big part of the plan.”

Steve Swanson, a national sales manager for The Carlstar Group and another WTC select committee member, said that in addition to the newer, cutting-edge styles there’s still a significant demand for restoration and period-correct designs from the ’60s through the ’80s. In fact, the influence of classic Camaro, Mustang and MOPAR styling cues persists, even among modern-muscle vehicle owners.

“It’s pretty straightforward stuff—cast aluminum, all steel, stamped and rolled, welded product,” he explained. “What has impacted the physical characteristics of the wheel are the massive brake systems now being installed on factory vehicles—large calipers, large rotors, positive offsets—where back in the ’60s, ’70s and ’80s, it was all standard, negative-offset stuff with drum or very small disc-brake systems. But today’s high-tech suspensions and their dynamics require lighter unsprung weights. That has absolutely impacted the design characteristics and cosmetic attributes of the wheel and the way the wheel is manufactured—gravity cast to flow-form to forged wheels. All of it changes the dynamics of the wheel.”

Reinventing the Wheel and Tire

Invention has always been a key driver for the aftermarket, but wheels and tires are so basic in design and function that there can seem little to reinvent. For tires particularly, most technological advancements have come at the OE supplier level and have principally revolved around more efficient tread patterns, lighter and quieter rubber compounds, improved manufacturing techniques, run-flat or self-sealing features, lowered rolling resistance and RFID labeling. Although a number of major tire makers are known to be experimenting with tires better adapted to autonomous vehicles, more exotic materials, 3-D-printed treads and even shape-shifting designs, changes over the past decade have been more evolutionary than revolutionary.

One major goal has been the continued improvement of TPMS to shake out its quirks and frustrations for shop professionals and consumers alike. Luckily, that is one area where the aftermarket has been able to step up and demonstrate its technological prowess—especially in TPMS servicing.

An example is Bartec USA’s Tech600Pro tool, a runner-up in the Best New Tire and Related Product award category at the 2020 SEMA360 online trade event. The product utilizes a wireless VCI to the OBD-II port to detect and decode a vehicle’s year, make and model in seconds. Able to work with all OE and major programmable TPMS units, the handheld tool features a graphical interface to quickly guide service technicians through all the necessary TPMS relearning and programming steps for the given vehicle.

Meanwhile, another company is looking to move the tire world beyond basic TPMS with more advanced technologies. According to Keith Ferry, Cerebrum Sensor Technologies founder and CEO, the company’s recently introduced smart tire sensor can be used in any tire to provide the consumer with a wide range of tire analytics that can enhance safety and performance.

The sensor information transmits to any smartphone and includes data and alerts that can help consumers and fleet managers make better decisions about tire maintenance and driving. Cerebrum will also soon feature a dealer database to refer consumers to wheel and tire retailers based on inventory and service availability. The brand is a spin-off from Tire Stickers, a maker of tire lettering pens and raised decals, based in Van Nuys, California.

“Our products were initially intended for aesthetic use—personalizing vehicle tires with words or designs for a unique look,” Ferry explained. “As we developed a further understanding of the market, we identified the need for functional products to be used for tire inventory management, tracking, security and maintenance.”

That led the company to introduce products for QR and barcoding, along with RFID tags that could be affixed to tires.

“In the era of IoT [internet of things] and advanced vehicle systems, tires are still in the Stone Age,” Ferry asserted, adding that, while TPMS was a major advance, the technology falls short with limited and often confusing information.

“We saw this as an opportunity to use our patented technologies and expertise to bring a more intelligent solution to tires,” he said. “Our flagship product was initially intended for aftermarket use, as it can be installed to any vehicle tire without the involvement of the tire manufacturer. That enables consumers, jobbers or others to add Cerebrum technology to the tires with the same ease as a TPMS sensor but without the limitation and challenge of vehicle teaching or learning.

“For the enthusiast, Cerebrum can be used for high-performance ‘sessions’ that track and report temperature and pressure changes by the second, lap times, location and the like. Our latest feature measures tire load, which is of immense value to trucks and fleets. Our technology is scalable to all tire types, and we expect to see it used by OEs within the next two to three years.”

As an industry observer, Schlaack views the latest TPMS innovations as one of the most promising trends in the wheel and tire space.

“The sensor market has improved tremendously, and that’s really helped us on the installer side and the customer-satisfaction side as well,” he said. “TPMS sensor programing has advanced so much in 11 years. It used to take almost as long to program sensors as it did to install them. That has improved in the last couple of years, and I’ve been excited to watch [recent developments].”

Adding Value for Consumers

With consumers driving fewer miles and extending the life of their purchases, helping them to properly care for and get the most from their wheel and tire products can be a powerful way to enhance value and cement relationships. Suggesting ancillary items such as ceramic coating and/or cleaning products, lug nuts, wheel bolts, spacers, stud conversions and even suspension upgrades can also increase margins. Perhaps most important of all, the pandemic has created a hunger among consumers for basic automotive knowledge and do-it-yourself skills. Fortunately, the SEMA WTC offers two downloadable sales tools to help retailers and installers demonstrate their expertise and stand out with potential wheel and tire purchasers.

The WTC “Ride Guide” report provides users with easy-to-understand graphical representations of test data surrounding the effects of various tire sizes. Compiled by the Clemson University International Center for Automotive Research, the vehicle performance data includes comparisons of ride comfort, road grip, steering-firmness response, directional response and steering-speed response. The guide is intended to arm sales professionals with information that can help consumers narrow their style and design options based on desired performance characteristics.

In addition, the WTC’s “Wheel Care Guide” provides tips and FAQs about proper wheel care, explaining common wheel surface finishes and the appropriate cleaning solutions for each. The guide can be used as a training aid for internal staff or as a counter-topper for customers. Either way, it can help staff share expertise with store visitors and suggest appropriate wheel-care products. Both WTC guides can be downloaded at www.sema.org/wtc-guides.

The ultimate good news is that consumer interest is already showing signs of rebound even though the wheel and tire markets have experienced setbacks from COVID-19. As always, businesses that keep a careful eye on industry trends and changed consumer purchasing habits will be best positioned to ride out what appears to be a temporary slowdown.

SEMA News—February 2021

INTERNATIONAL

The Indonesia Automotive Market

World’s Eighth-Largest Economy Offers Opportunities

By Linda Spencer

As SEMA News continues its periodic series on promising global export markets for U.S. manufacturers, this month the focus is on Indonesia.

The fourth most populous country in the world (after China, India and the United States) with 270 million people, Indonesia presents opportunities and challenges for manufacturers of automotive specialty-equipment products. A recent World Bank report provided a positive picture of the growing economic climate in this archipelago nation. It enjoys an average annual gross domestic product growth rate of 5.6% and a rapidly growing middle class that now tops 52 million—20% of the population—and has become the world’s eighth largest economy in terms of purchasing-power parity.

The former Dutch colony has a young population with growing disposable income. More than 40% of Indonesia’s population is under the age of 24. Indonesia recorded national car sales of around one million units annually in recent years, according to the Indonesia car manufacturers association Gabungan Industri Kendaraan Bermotor Indonesia (Gaikindo).

The vast majority of passenger cars sold in Indonesia—some estimate nearly 70%—are compact multipurpose vehicles (MPVs), crossovers and SUVs equipped with three rows of seats. That would put the percentage of these light trucks at one of the highest in the world market. In fact, the best-selling model in the market is the Toyota Avenza—a compact MPV. Pickups are also popular.

Japanese vehicles, many which are built within Indonesia, captured the lion’s share of the market at 90%. Most of the remainder is captured by European and, increasingly, Chinese brands. BMW, VW and Mercedes-Benz all build vehicles in Indonesia and capture much of the rest of the market, along with Chinese brands such as Wuling that are assembled in Indonesia.

U.S. brands have a minuscule share of the market. With the closing of Ford and GM plants, no U.S. vehicles are manufactured in Indonesia. Most recently, GM announced that it will no longer sell GM-branded vehicles in the country, closing all of its dealerships. Ford vehicles are sold through a network of about 30 dealerships in the country, but Chrysler, though currently limited in its offerings and its sales network, is looking to increase the number of dealers and hopes to grow its market share.

The Jeep Wrangler and the Jeep Gladiator are currently sold in Indonesia, but the company plans to add to those offerings in the future, including the Jeep Compass Facelift 1.4, the all-new Grand Cherokee 3.6 and the New Jeep Grand Cherokee 2.0.

Dhani Yahya, COO of DAS Indonesia Motor, the newly appointed distributor of Chrysler products, was recently quoted in the media. “The growth of the Jeep market in Indonesia will be transformed from a limited market volume to a much larger market volume, with the market share of the premium segment growing from 2% to 15% to 20% in the next three to five years,” he said.

NMAA

To grow the Indonesian automotive specialty-equipment industry, the National Modificator & Aftermarket Association (NMAA) has been established with the moto, “Standard is boring.” It seeks to grow the market by holding competitions to improve the skills of local builders and the knowledge of enthusiasts. The association sponsors a show called the Indonesia Modification Expo, with September 2019 being the second edition of the event. The association also hosts a weekly show “Modz Bidz,” among other activities.

Off-Roading

The Indonesia Off-road Federation (IOF) was founded in 1999 to promote off-roading. It is based in Jakarta, the country’s largest city. It has regional branches throughout the country and hosts off-road competitions. Among the off-road activities that have been regulated by IOF are off-road racing, mud racing, rock crawling, car crushes and off-road adventures.

The vehicles of choice for both off-road recreation and racing are Toyota Land Cruiser FJ40s (known as Hardtops), the Suzuki Jimny, and Jeeps—particularly the older Jeep Willys. Also sold are the Mitsubishi L200 Triton, the Toyota HiLux and the Mitsubishi Pajero Sport.

Classic-Car Enthusiasts

The Indonesia Vintage and Classic Car Association is a 40-year-old group that boasts 2,000 members and local branches throughout the country. There is a preponderance of European vintage vehicles, but the U.S. Embassy reports that there is also interest in American musclecars.

Some well-known American musclecars with followings in Indonesia include the Ford Mustang, the Chevrolet Camaro and the Dodge Charger. Classic Jeeps and Jeep Willys vehicles may also be found. The association hosts show-and-shine events and vintage-car touring events, with a typical gathering featuring more than 300 vehicles traveling throughout
the country.

Challenges:

Overseas Brand Protection

Taking steps to protect your brand’s reputation is an important first step in any overseas market in which you wish to do business. It’s especially important in Indonesia as the U.S. government in 2019 as one of 11 countries worldwide with the most serious IP concerns. The United States Trade Representative identified Indonesia on its priority watch list due to the reported lack of adequate and effective IP protection and enforcement, local manufacturing and use requirements, compulsory licensing, and the lack of effective border enforcement against counterfeit and pirated goods as well as fair and equitable market access.

Unnecessary and Costly Testing

U.S. firms should be mindful of additional requirements for testing and certification imposed on a wide range of products. In many cases, U.S. exporters will need to pay for an Indonesian laboratory or certification body to conduct testing for individual shipments, adding to the overall cost of bringing goods to market.

The US Commercial Service sreports, in fact, that the NMAA has been in talks with the Indonesia Ministry of Industry. The association is urging the government to apply the Standard Nasional Indonesia (SNI) to automotive specialty products. The embassy reports that the NMAA hopes that it can protect local industry from foreign competition through SNI certification requirements, thus giving local industry a chance to grow. The U.S.Commercial Service noted that the compulsory two-year-old SNI certification on automotive lubricants has been shown to negatively impact many foreign small and medium lubricant players entering the Indonesian market.

Labeling

All imported consumer goods must identify the importing agents. Previously, the Government of the Republic of Indonesia required that information on product labels be distinctly and clearly written or printed or shown so that it can be seen easily and understood. Those requirements were somewhat eased with the implementation of a new Indonesian Ministry of Trade regulation (Ministry of Trade Regulation No. 73/M-DAG/PER/9/2015), which allows the label to be stamped in Indonesian on the product or inserted into the packaging.

On the other hand, additional products have been added to the list of products requiring labeling. On October 2019, the Indonesian Ministry of Trade issued regulation 79/2019, which amended regulation No. 73/2015 by including a list of goods and the required labeling, including for electronics, building materials, automotive spare parts, textiles and textile products.

Summary

As one of the quickest-growing economies in not only Southeast Asia but also the world, and one of the largest in terms of population, Indonesia provides opportunities with its growing middle class and accompanying disposable income for enthusiasts to purchase aftermarket upgrades.

Paying close attention to the types of vehicles on Indonesia’s roads as well as its regulations and other requirements will help improve the chance of success in the market. The country has a high social-media usage rate, aiding U.S. manufacturers in reaching consumers in the country to provide the latest in products and trends for enthusiasts eager and adept at seeking worldwide information on how to upgrade their rides or improve their vehicles’ performance on the track.

SEMA wishes to thank the U.S. Department of Commerce’s International Trade Administration. Elizabeth Couch in Washington, D.C., Eduard Roytberg in Ontario, California, and Michael Rosales in San Antonio, Texas, have provided ongoing support to SEMA. Special thanks also to Mario Simanjuntak, commercial specialist at the U.S. Embassy in Jakarta, for pulling together information on the Indonesian automotive specialty-equipment market. Simanjuntak is an excellent contact on the Indonesian automotive market and can be reached at mario.simanjuntak@trade.gov.

For SEMA members interested in additional information on the Indonesian market, email lindas@sema.org.

SEMA International Programs

More information is available at www.sema.org/international or email lindas@sema.org.

By SEMA Editors

George Lee Lane has passed away. Lane was born and raised in Southwest Michigan, where he met his lifelong wife and partner Janet and raised their two sons, Doug and David.

From humble beginnings to building an automotive powerhouse, Lane was a true pioneer. He had an unparalleled passion for cars and racing. To feed this passion, he made frequent trips to the Detroit area to purchase performance parts for himself and his friends. This ultimately led to his first startup, a part-time speed shop operated out of his garage.

As this venture began to flourish, Lane started selling these parts to local racers and hot-rod enthusiasts. His business grew quickly, and in 1964, Lane Automotive was formed. Not long after, in 1970, he launched Lane’s wholesale division, Motor State Distributing. This division brought performance and racing parts from manufacturers across the country to locally owned speed shops and retailers throughout the Midwest.

Lane later launched Allstar Performance—a brand focused on specialty racing parts and equipment. Over its 57 years in business, Lane Automotive has grown into a multi-generational company, which has been led by Lane, his children, and most recently, his grandchildren. Under Lane’s leadership, his company has grown to serve performance automotive enthusiasts around the world.

Regardless of the company’s growth, however, Lane remained heavily involved in the racing and hot-rod scene, and could often be found at local tracks on race day. He helped to support local tracks and racers, as well as to standardize many safety and certification practices across various sanctioning bodies. For this, Lane was honored with his induction into the Michigan Motorsports Hall of Fame in 2001.

Heavily involved with helping to promote and expand the automotive aftermarket industry, Lane saw the value and importance of supporting the industry’s organizations, shows and conferences through membership and participation.

Even after he formally retired, Lane continued to be actively involved with the company. He was a fixture at the annual Lane Automotive Car Show, and a regular at Cars and Coffee events, where he could often be found swapping stories with customers he had known for decades.

As of press time, no funeral arrangements have been announced.

Compiled by SEMA Editors

2021 Washington, D.C., Auto Show Postponed

Due to the ongoing health emergency in the District of Columbia and around the world, the 2021 Washington, D.C., Auto Show will be unable to open during the previously-scheduled March 26–April 4 time frame. Show organizers are working closely with the District government and the Walter E. Washington Convention Center to find dates later in the spring to host the event.The 2020 show, which commenced before the COVID-19 pandemic, was one of the best-attended shows in the event’s history, and featured more than 600 new vehicles from nearly three-dozen auto manufacturers. Further details about the auto show's programming, including updates on scheduling, participating manufacturers, media and industry-related events, and much more, will be announced in the coming months.

Air Lift Company Announces Acquisition of Flo Airride

Air Lift Company has announced that it has acquired air tank manufacturer Flo Airride Mfg. Flo Airride specializes in the lowered truck market, specifically air tanks. Under the terms of the acquisition, all business operations will move from Flo Airride’s Oklahoma facility to Air Lift's Lansing, Michigan-based, headquarters. In addition to acquiring Flo Airride, Air Lift Company will gain the rights to Slam'd Magazine, a publication created to build a community of engaged automotive enthusiasts around the world. Air Lift Company will also welcome former Flo Airride-owner Mike Alexander to the Air Lift Performance team as the Air Lift performance brand manager. Alexander has worked for almost two decades within the automotive aftermarket, beginning his custom automotive career in the print publishing world and later as the Director of Marketing at AccuAir, before founding Slam'd Magazine in 2014 and Flo Airride in 2016. Air Lift Performance is currently transitioning the production of Flo Airride tanks to their Lansing, Michigan facility. The team anticipates that sales of Flo product will begin in February of 2021.

DENSO Products and Services Americas Names Operations Director

DENSO Products and Services Americas Inc., an affiliate of DENSO Corp., has named Joseph Wright its new director of Americas Operations. Wright is responsible for overseeing all DENSO shipping and receiving operations across North America, including DENSO’s warehouse and distribution centers in California and Indiana.

Wright brings more than 20 years of experience in warehousing, transportation, global logistics, procurement and production to the position.  

"We’re excited to have Joseph join our team and propel us to a higher level of operational excellence," said Kazu Yanagawa, vice president of DENSO’s Supply Chain Management Group. "In addition to our superior products, the DENSO brand stands for unbeatable customer service. Joseph’s acumen and experience will help us continue to build on all these strengths."

Mid America Motorworks Unveils 2021 Catalog Featuring 12,500 Parts and Accessories For Classic Air-Cooled Volkswagens

Mid America Motorworks has announced the debut of its 148-page full-color 2021 catalog, which features more than 12,500 parts and accessories for owners and lovers of classic air-cooled Volkswagen models. The catalog—along with its accompanying site—focuses on a family of air-cooled Volkswagen models including Beetle, Super Beetle, Bus, Karmann Ghia, Thing and Type 3. A record 18,638 parts and accessories are offered within the catalog, with another 9,547 showcased on the Mid America Motorworks site.  The 28,285 total parts and accessories range from a $1.99 screw to a $6,000 ready-to-install motor.

Cometic Gasket Acquires Klotz Synthetic Lubricants

Cometic Gasket has announced the acquisition of Klotz Synthetic Lubricants, according to published reports. Klotz Synthetic Lubricants was founded in 1959 by John C. Klotz Jr. in Fort Wayne, Indiana. The company specializes in racing, high-performance, and traditional lubricants, and markets include automotive, karting, marine, motorcycle and RC categories. As part of the acquisition, Brad Kruckenberg has been appointed as the new president for Klotz Synthetic Lubrication. At the same time, company founder Klotz will continue in a leadership role as Chairman Emeritus. The business will continue to engineer, formulate and package its purpose-built lubricants out of its Fort Wayne headquarters.

MAHLE Motorsport Introduces 2021 Racing Components Application Guide

MAHLE Motorsport has introduced a new 2021 Application Guide. The guide offers a complete listing of all PowerPak and PowerPak Plus Piston Kits offered for domestic and import applications and features more than 35 pages of tech information for quick and easy ordering that includes motorsport ring sets, rails and expanders per bore.

LSI Chemical Expands Distribution to China, Signs Pioneer New Material Technology Co. Ltd.

LSI Chemical has announced on the heels of signing distribution in South Africa, a new major distribution partner—Pioneer New Material Technology Company Ltd., located in Luoyang, China. The addition of Pioneer represents a strong partner as the world’s third largest MoS2 manufacturer. Pioneer boasts an independent import and export license and a complete customs clearance system to ensure the smooth flow of domestic and foreign products. Pioneer is now authorized to distribute the entire line of LSI Chemical fuel and oil additives in China. Now, in addition to the company’s own manufactured products, which includes lubricating grease for automotive manufacturing, Pioneer will have access to fuel and oil additive technology to improve lubricants and fuels upstream at refineries in the Chinese market and abroad.

VP Racing Fuels Strengthens Distribution in Alabama, Georgia and Florida

VP Racing Fuels Inc. has announced that Davison Oil will no longer distribute VP products. Boswell Oil has been named the sole VP distributor for the state of Georgia, as well as for the areas of Alabama south of Birmingham. VP Southeast continues to service the state of Florida.

Engine Parts Group Announces Addition of NPW

Engine Parts Group, also known as Engine Pro, has announced the addition of NPW Companies as its newest member. NPW is a Florida-based automotive parts distributor with 30 warehouse locations and more than 50 store locations across the US. NPW had recently purchased Engine and Performance Warehouse Inc. (EPWI), a founding member of the Engine Parts Group.

Parker Retires and Magee Elected AACF Board of Trustees

The Automotive Aftermarket Charitable Foundation (AACF) announced the retirement of Lynn Parker, and the selection of Larry Magee as President of the Board of Trustees. Magee has been involved with the Foundation for over 25 years, and currently serves on the Foundation’s Executive Committee, Recipient Review Committee, Strategic Planning Committee, and Golf Committee.Parker served on the AACF Board for over 20 years and as AACF Board President the last 3 years.

“Lynn has been a dedicated and passionate volunteer and will be truly missed; we wish him the best in his new adventures,” said Joel Ayres, Executive Director of AACF.”Ayres went on to say,  “AACF is fortunate that Larry will be stepping into this leadership position, his experience with the Foundation and many years in the aftermarket industry will be make this a smooth transition.”

During his career in the aftermarket Magee held CEO/President positions with several companies including Bridgestone/Firestone, Heartland Automotive, and Magnolia Enterprise Group.

For more information or to get involved, contact Joel Ayres at joel@aacfi.org.

Chevrolet Names First Sports Car Racing Program Manager

Chevrolet has named Laura Wontrop Klauser as its newly created sports car racing program manager as the manufacturer continues its shift toward an engineering-based approach throughout its motorsports programs. In her new position, Klauser will oversee the engineering and technical aspects of Corvette Racing on behalf of Chevrolet. Klauser, who resides in Detroit, currently manages the Cadillac DPi-V.R and Camaro GT4.R programs in the IMSA WeatherTech SportsCar Championship.

Caliber Announces the Appointment of Aylwin B. Lewis to Board of Directors

Caliber has announced the appointment of Aylwin B. Lewis to its Board of Directors, effective January 25. Lewis, the former chairman, president and chief executive officer of Potbelly Corp., and a former top executive at Kmart, Sears and Yum! Brands, brings a long track record of leadership and performance to Caliber’s Board of Directors. In addition to the position on Caliber’s board, Lewis currently serves on the boards at Marriott International, Voya Financial and Chef’s Warehouse. In the past, Lewis has held board roles with Halliburton, Kmart, Red Robin, Sears, Starwood Hotels and the Walt Disney Company. As part of Caliber’s board, Lewis will help oversee and guide the company’s 1,200+ service centers that restore 1.5 million vehicles and customer lives each year and support more than 21,500 teammates and the communities they serve. 

Brake Parts Inc. Receives Uni-Select Diamond Award

Brake Parts Inc. (BPI), part of the First Brands Group, was recently honored by Uni-Select with its highest supplier recognition, the Diamond Award, during Uni-Select’s AutoXPO Virtual Trade Show and Convention.  

First Brands Group was chosen as the Uni-Select supplier of the year recipient for demonstrating true leadership of a supplier partnership. First Brands Group excelled in the ability to provide products, both national and private branded, throughout the Uni-Select Canadian network at all levels of distribution, from distribution center locations to automotive service providers. In addition, First Brands Group supported the in-field efforts of Uni-Select members and corporate stores to drive sales and product support.

In past years, BPI has been recognized for excellence by Uni-Select with the Diamond Award, two Golden Ally Awards for sales growth and marketing and the Innovator of the Year Award.

LSI Chemical Signs Pioneer New Material Technology Co. Ltd.

LSI Chemical has announced a new distribution partner located in Luoyang, China. Pioneer New Material Technology Company Ltd. is now authorized to distribute the entire line of LSI Chemical fuel and oil additives in the country. In addition to the company’s own lubricating grease for automotive manufacturing, Pioneer now has access to LSI’s fuel and oil additive technology for the Chinese market and abroad. The news comes after LSI announced NanoTech Petroleum as its new South African distributor.

Have some company news you would like to share? Let us know and the news may appear in an upcoming issue of SEMA eNews. Send your items for consideration to editors@sema.org.

Compiled by SEMA Editors

Mac Tools and Kalitta Motorsports Extend 20-Year Partnership

Kalitta Motorsports and Mac Tools have announced that one of the longest running sponsorship relationships will continue into its 20th NHRA season through a multiyear extension agreement. Doug Kalitta, one of the winningest Top Fuel racers in NHRA history, will continue to race the red-and-white 300-mph Mac Tools Top Fuel dragster throughout the 2021 NHRA Camping World Drag Racing Series season. Kalitta, along with the rest of the Kalitta Motorsports team, will continue their commitment to building the Mac Tools brand, raising product awareness with fans and technicians while engaging with Mac Tools’ distributors across the country. Throughout the 2021 NHRA Camping World Drag Racing Series season, Kalitta Motorsports will highlight its Top 20 Mac Tools Moments. Additionally, the team designed a commemorative logo which will be featured throughout the season.

Chip Ganassi Racing to Enter Extreme E With GMC

GMC has announced a new multiyear sponsorship with Chip Ganassi Racing (CGR) for the team’s first electric racing venture in the inaugural Extreme E season in 2021. CGR will compete in a 550-hp electric SUV inspired by the GMC HUMMER EV. Noted off-road racers Kyle LeDuc and Sara Price will serve as drivers for CGR in the series. The Extreme E five-race global championship will take place in some of the world’s most remote locations and promotes the adoption of electric vehicles.

Season 1 Extreme E Calendar:

• Desert X Prix: AlUla, Saudi Arabia: April 3-4
• Ocean X Prix: Lac Rose, Senegal: May 29-30
• Arctic X Prix: Kangerlussuaq, Greenland: August 28-29
• Amazon X Prix: Para, Brazil: October 23-24
• Glacier X Prix: Patagonia, Argentina: December 11-12

40 Races For Inaugural BMR Drivers Academy Season

Bill McAnally Racing (BMR) has released the 40-race schedule for the inaugural BMR Drivers Academy, which begins on March 26, at the All American Speedway in Roseville, California. The series will compete at five NASCAR National and Weekly Series tracks across the state. There are 16 two-day events on the calendar, which will visit oval tracks like Irwindale Speedway (Irwindale, California) and Kern County Raceway Park (Bakersfield, California). Road courses include Sonoma Raceway (Sonoma, California) and Thunderhill Raceway (Willows, California). The roster of drivers includes standouts from grassroots motorsports across North America. Drivers will compete in full-sized stock cars utilizing a 625-hp NASCAR Yates spec engine and the same chassis components as ARCA and the NASCAR Truck Series.

After races 14, 24, and 30, the points leader will be awarded an opportunity to compete in the Bill McAnally Racing Toyota for a 2021 ARCA event. Drivers that win race events in the Drivers Academy during the season will also receive one entry per win towards a drawing for the opportunity to compete with BMR/MHR in the NASCAR Camping World Truck Series at Phoenix in November. Races will be streamed live to a worldwide audience via SPEED SPORT TV. For more information, visit www.bmrdriversacademy.com.

HPD Announces Super Formula Scholarship

Honda Performance Development (HPD) and Honda Motor Company have announced a new scholarship program to support the Formula Regional Americas series and the Super Formula Championship based in Japan. HPD and Honda Motor will award the 2021 champion of the Formula Regional Americas series with a scholarship—value of up to $600,000—to participate in the 2022 Super Formula series season.

The Formula Regional Americas (formerly F3) is an FIA-supported series promoted by Parella Motorsports Holdings and sanctioned by SCCA Pro Racing. The internationally known Super Formula series is the top level of open-wheel racing in Japan and features a high downforce Dallara chassis powered by 500+ hp engines.

For more racing news, visit Performance Racing Industry’s (PRI) website.

This is the upcoming Ford F-150 Raptor, and video confirms that at least one Raptor variant will pack a 5.2 V8 engine straight from the heart of the Shelby GT500, and will make between 725 and 750 hp, according to sources. The engineer was overly cautious when it came to accelerating, and even went as far as cutting through subdivisions to get back to Roush (the same Roush that helped develop the GT500).

One source said “Honestly, we had to counter RAM once we knew they installed the HellCat in the TRX”. The team is allegedly looking to beat the Ram TRX at all costs.

Expect an official debut in Q1 2021.

Photo credit: Brian Williams/SpiedBilde

This is the upcoming Ford F-150 Raptor, and video confirms that at least one Raptor variant will pack a 5.2 V8 engine straight from the heart of the Shelby GT500, and will make between 725 and 750 hp, according to sources. The engineer was overly cautious when it came to accelerating, and even went as far as cutting through subdivisions to get back to Roush (the same Roush that helped develop the GT500).

One source said “Honestly, we had to counter RAM once we knew they installed the HellCat in the TRX”. The team is allegedly looking to beat the Ram TRX at all costs.

Expect an official debut in Q1 2021.

Photo credit: Brian Williams/SpiedBilde

  

By Ashley Reyes

SEMA is accepting nominations for its Hall of Fame.

Established in 1969, the SEMA Hall of Fame recognizes people who have contributed a significant body of work to the industry over a long period of time, and is the most prestigious award presented to an individual by the association. It is designed to honor the leaders, innovators, creators and enthusiasts who have helped transform small, burgeoning businesses into an industry worth more than $44.6 billion annually.

Nominate an individual who epitomizes the essence of ingenuity in action, before the Friday, March 19, deadline.

To learn more about the SEMA Hall of Fame and for a list of inductees, visit www.semahof.com or contact Lindsay Bianco at lindsayb@sema.org or 909-978-6692.

By Ashley Reyes

Join the SEMA Businesswomen’s Network (SBN) as they host a Facebook Live Chat with Kathryn Reinhardt, senior marketing manager at 4 Wheel Parts, and a member of the SEMA Board of Directors, February 9, 12:00 p.m. (PST).

Reinhardt has worked in the aftermarket automotive industry for more than 15 years, and has a proven track record of accomplishments, both in her career and as a volunteer for the association. In addition to her professional career experiences, Reinhardt is the chairwoman of SEMA Cares, and she plays an active role in the success of many SEMA councils and networks, earning her recognition as 2015 SEMA Person of the Year, 2015 YEN Vanguard Award winner, 2014 SBN Woman of the Year, and 2014 LTAA (now TORA) Chairman’s Award.  

As host of SBN’s Live Chat, Reinhardt will share detail about her start in the industry, inspirational stories about the women she met along the way and give advice on knowing what you want and how to ask for it.

Tune into SBN’s Facebook page, February 9, at 12:00 p.m. (PST).

By Ashley Reyes

Join the SEMA Young Executives Network (YEN) as they host a Facebook Live Chat with managing partner of Lodestone Events Lindsay Hubley, Wednesday, February 10, at 12:00 p.m. (PST).

Having started her career in 2003 with her family-owned company, The Promotion Co. & Family Events, Hubley is experienced at managing large-scale consumer events. In 2014, Family Events was acquired by Bonnier Corp, where Hubley led the company’s event division before leaving in 2018 to form Lodestone Events in partnership with her sister, Jessica Kirchner. The following year, Lodestone Events acquired the world’s premier overland and adventure travel event, Overland Expo.

Join the Live Chat on YEN’s Facebook page to hear how Hubley has managed disruption in the events industry during the past year, how Covid has impacted business, and what her company has planned to move forward in 2021.