House Committee Passes EAGLE Act; Section 232 Auto Report Released

You Auto Know 07/16/21

This week the House Foreign Affairs Committee voted to advance the Ensuring American Global Leadership and Engagement (EAGLE) Act, in a strictly party-line vote with only Democratic support.  The EAGLE Act is the House’s complement to the U.S. Innovation and Competition Act (USICA), which is aimed at countering China’s growing technological influence.  It’s unclear when the bill will receive consideration on the House floor. The many differences between the House and Senate bills, one of which is the authorization of funds for programs to alleviate the chip shortage, will then need to be worked out before it can receive final approval.   

Section 232/Tariffs

Last week the U.S. Department of Commerce quietly released the controversial Section 232 report on the effect of automotive imports on U.S. national security. The investigation was initiated more than three years ago, but the report, which concluded that imports of automobiles and parts constituted a threat to U.S. national security, was never made public.  Though the findings of the report were never acted upon, the threat of auto tariffs has nonetheless hung over the head of the U.S. auto industry.

ICYMI

In the latest installment from Dealers Make An Impact, AIADA Chairman Steve Gates urges dealers to show Members of Congress how they make an impact by inviting them to visit through the AIADA Dealer Visit Program.  The upcoming August congressional district work period is an excellent time to host legislators, and it’s quick and easy to sign up

Dealers Make An Impact is an effort to encourage dealers, dealership employees, and industry partners to engage with Congress to show how Dealers Make An Impact on their communities, and how, even without flying in to DC, dealers can make an impact on decisions in Washington right from their dealership floor.  

CALL TO ACTION:  EVs

Proposed Senate legislation would add an additional $2,500 in tax credits for cars built in the U.S., and another $2,500 for cars built in the U.S. at facilities represented by unionized labor.  Favoring union-built vehicles over other vehicles built in the U.S. has no value to the environment, and the motivation behind such an incentive can be nothing less than political favoritism.  AIADA Chairman Steve Gates issued a call to action urging dealers to contact their Members of Congress and tell them to oppose this un-American proposal.  If you haven’t already, take action today!

Quote of the Week

"A quick glance confirms what we expected. The justification for these [Section 232 auto] tariffs was so entirely unfounded that even the authors were too embarrassed to let it see the light of day.

            -Senator Pat Toomey (R-PA) (Politico)

Must Listen

Check out the latest Beltway Talk podcast, featuring Anna Schneider, Senior Vice President, Industry-Government Relations and head of Public Affairs for Volkswagen Group of America, as she discusses Volkswagen’s wild year (and role as a major mask-producer in 2020), what she needs the Biden administration to understand about international auto manufacturers, and what’s coming for VW’s dealers in 2021 and beyond.

Friday Feel Good

Here is just one recent example of how the international nameplate auto industry is doing good in communities across the U.S.:

The Lyon-Waugh Auto Group in New England raised critical funds and awareness to advance Alzheimer’s Association care, support and research programs through the Lyon-Waugh Auto Group Drive to Remember event, which raised over $212,000.

Don Ringler Automotive Group, Toyota Motor Company, and Workforce Solutions of Central Texas have partnered to provide the latest in automotive tooling for the Temple Independent School District’s Automotive Technology Program. The program is part of the Texas Industry Partnership (TIP) initiative and will help to purchase equipment that addresses the training needs of Automotive Technology and prepare students to receive Automotive Service Excellence (ASE) industry certification. The equipment purchased is made possible using a $17,000 donation from Don Ringler Automotive Group and the Toyota Motor Company and leveraged matching funds of $16,500 from the Texas Workforce Commission. The grant will benefit students in the Career and Technical Education Program.

We want to hear more about how you are supporting your local community – tweet us at @AIADA_News and use the hashtag #DealersDoGood.

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