Efforts to Scrap Older Cars Targeted for Inclusion in Economic
Stimulus Package


WASHINGTON, D.C. (January 2, 2009) –SEMA, the Specialty Equipment
Market Association, is actively opposing an effort by some
Congressional lawmakers to include a nationwide "Cash for Clunkers"
program in the economic stimulus package currently being considered in
Washington. Cash for Clunkers, or scrappage as it is more commonly
known, would use taxpayer dollars to purchase and crush older vehicles
into blocks of scrap metal. There is no evidence that the program
will achieve the goal of boosting new car sales.

Many states have considered these programs in the past as a way to
help clean the air but abandoned the effort because they simply don't
work. The programs are not cost-effective and do not achieve
verifiable air quality or fuel economy benefits.

"In fact, states are currently prohibited from using federal funds for
Cash for Clunker programs under the Congestion Mitigation and Air
Quality Improvement Program (CMAQ)," said Steve McDonald, SEMA's Vice
President of Government Affairs. "The reasons are simple. Regulators
have focused on a vehicle's age rather than the emissions the vehicle
produces, based on the erroneous perception that all older cars are
dirty cars. These clunker programs do not bother to measure the real
emissions of the vehicles involved. Rather, the programs "estimate"
emissions reductions using numbers that are significantly overstated."

Another shortcoming is that clunker programs rarely capture the "gross
polluter," an improperly maintained vehicle of any model year, which
puts out dramatically more emissions due to poor maintenance. Those
seeking a quick fix through vehicle clunker programs ignore this reality.

Clunker programs even on a voluntary basis further diminish the
availability of affordable transportation and repair parts to
low-income drivers as more and more older cars are crushed. They do
not guarantee that low-income individuals will be able to afford to
purchase new vehicles, let alone more fuel efficient or cleaner
vehicles, with the money provided by clunker programs. Clunker
programs also undermine the used car donation programs of charitable
organizations such as Melwood Industries, Salvation Army, and the
Military Order of the Purple Heart.

"Rather, auto restoration, customization and repair shops nationwide
would suffer with the loss of older cars, trucks and parts they need
to supply and service their customers," McDonald added. "An unchecked
Cash for Clunkers program risks destroying classic, historic and
special-interest vehicles. America safeguards its artistic and
architectural heritage against indiscriminate destruction. Our
automotive and industrial heritage deserves the same protection."

In lieu of clunker programs, SEMA has recommended that Congress work
with the states on programs that identify gross polluters and upgrade
them with equipment that improves their emissions performance
dramatically. These benefits are measured and cost-effective in
reducing emissions. Adapting newer technologies to older vehicles
benefits the vehicle owner and brings business to auto dealers and
repair shops repairing gross polluting vehicles, which in turn will
improve air quality. A number of commercially available products and
technologies exist which could substantially lower the emission rates
of older vehicles while also offering the owner added performance,
driveability and fuel mileage. These innovative solutions drive
product sales, produce American jobs and secure tax revenues for the
government all while sustaining the multi-billion dollar vehicle
restoration industry. McDonald concluded, "Now, that's an economic
stimulus we all can support."

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SEMA represents the $38.1 billion specialty automotive industry.
Founded in 1963, the trade association has 7,358 member companies. It
is the authoritative source of research data, trends and market growth
information for automakers and the specialty auto products industry.
The industry provides appearance, performance, comfort, convenience
and technology products for passenger cars, minivans, trucks, SUVs,
crossovers and recreational vehicles. For more information, contact
SEMA at 1575 S. Valley Vista Dr., Diamond Bar, CA, 91765-3914; call
909/396-0289; or visit: http://www.sema.org or
http://www.enjoythedrive.com.