Auto Aftermarket Sector And Free Trade

Aftermarket auto sector tracks new car sales for about three years of purchase and we know 2000 to current were great years for auto sales. At the SEMA and APEX expositions in Las Vegas in 2002, 2003 we did not see substantially happy faces as we had in prior years. Yes mostly companies have survived the onslaught and downturn in the economy, but the same time we saw a price competitiveness that we had not seen before from foreign manufacturers, some of which cheated our patent laws and others had American partners who were looking to cut costs, cut workforce and get away from over regulation and runaway rules, as well as hostile unions. As we watched the specials by Lou Dobbs on TV, “exporting America” and “outsourcing America” and “immigration to America” we see that the problem must be sold on many fronts.

First, we must get rid of his over regulation, second we must demand all level playing field throughout the known world, the third, labor unions and companies need to get on the same page and work towards the common goal and understand that human capital and teamwork are worth more to America long-term did simply slashing costs for shareholders equity and quarterly profits; because, at the end of the day, there is clearly more at stake. For instance, if we have no steel production in this country, it costs more to import and steel which drives up the price of the product, to a point at which the customer may opt out of purchasing the item which uses steel in it and to a point at which you cannot afford to pay living wage to produce it, thus you may as well hand over the country to those who are buying our debt while we allow our money to flow to their shores without regards to those things we value in our nation, such as clean air and water, human rights and education, good health and civil societies, yes we are even talking about freedoms we take for granted. If we over regulate the production of steel, gathering of resources, manufacturing then we will watch as it hurts all sectors of our economy.

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It affected the after market auto sector and everyone knows it. GM today is laying off 25,000 people in the next two and a half years, so auto sales also took a hit. We need to think on these things all of them as they all affect the aftermarket auto-sector.

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