“Cash for Clunkers” legislation has gained traction on Capitol Hill as competing bills in the House have been consolidated and moved out of committee. The White House and the House Energy and Commerce Committee reached an agreement on proposed legislation, which now moves to the full House for consideration.

"'Cash for clunkers' is a common-sense proposal that will help provide a shot in the arm for the American auto industry at a crucial time for our economy, reduce the emissions that cause climate change, and make America more energy independent,” said House Speaker Nancy Pelosi. “By helping Americans trade in their old, less fuel efficient cars and trucks for newer, higher mileage vehicles, consumers will save money at the pump, help protect our planet, and create and save jobs for American autoworkers.”

The bill, known as the Consumer Assistance to Recycle and Save (CARS) Act, would provide $3,000 to $7,500 vouchers to owners of vehicles that are at least 8 years old to purchase more fuel-efficient vehicles. The vouchers are based on the new vehicles’ miles per gallon and vary depending on where they were built.

Numerous automotive aftermarket associations including AASA, AAIA, CAWA, CARE, SEMA and others, have expressed opposition to the plan.

SEMA issued a statement expressing its disappointment in the measure because scrapping cars would jeopardize the jobs of independent repairers, restorers and vehicle customizers and endanger collector cars for future generations. SEMA says it’s in contact with members of Congress to create an incentive program that instead would encourage vehicle and parts recycling.

For more information, visit www.sema.org.

Click HERE to read about the bill's introduction.

Click HERE to read the AAIA's take on the legislation.

Click HERE to read an essay in support of Cash for Clunkers.