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Trade Associations Urge Congress to Restore R&D Tax Deduction
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By Counterman
Congressman Neal Dunn (Fla-02) introduced the Right to Equitable and Professional Auto Industry Repair Act or the “REPAIR Act,” a bill that would ensure vehicle owners have access to important repair and diagnostic data needed for auto repairs, on February 25, 2025. Currently, automakers are restricting vehicle owners and automotive repair shops from accessing repair data and tools, resulting in higher repair costs, fewer service options and longer wait times for vehicle maintenance.
link hidden, please login to view would affirm that this data belongs to the vehicle’s owner, not the manufacturer. “American consumers deserve full control over their vehicle repair and maintenance data to ensure they can find the best service for their vehicle at a reasonable price. Unfortunately, vehicle manufacturers are standing in the way of American consumers accessing their own data to use the repair shop of their choosing, limiting consumer choice,” said Congressman Dunn. “For far too long, manufacturers have championed anti-competitive practices by withholding crucial maintenance information, squeezing their customers and independent repair shops.
“Your vehicle belongs to you, not the manufacturer. I am introducing the REPAIR Act to provide a binding, workable solution to anti-competitive behavior in the auto repair industry to reaffirm consumer control over their vehicle maintenance data and empower them to work with repair shops big and small.”
“Americans are tired of lip service about lowering prices or respecting the trades. We want to be able to fix our own stuff and to be stewards of our stuff and not reliant on a stream of cheap disposable crap. But auto manufacturers have made it increasingly difficult to have real agency,” said Rep. Marie Gluesenkamp Perez. “It’s time for Congress to listen to ordinary Americans and pass right to repair legislation.”
“We sincerely thank Dr. Dunn for his leadership in tackling this existential threat to consumers and standing up for the rights of vehicle owners and vital businesses,” said Bill Hanvey, president and CEO of the Auto Care Association. “The REPAIR Act gained significant support and momentum in the previous Congress, demonstrating the broad, bipartisan recognition of the need to protect consumers’ right to repair their vehicles. Lawmakers, industry leaders, and everyday drivers understand that fair access to vehicle repair data is essential for competition, affordability, and consumer choice. With its reintroduction, we have an even greater opportunity to get this critical legislation across the finish line.”
“Americans want a car repair market that guarantees choice and protects accessible, affordable, and safe vehicle repairs,” said Justin Rzepka, executive director of the CAR Coalition. “We commend Rep. Neal Dunn and Rep. Marie Gluesenkamp Perez for their leadership in upholding consumer rights and promoting a free and fair car repair market. Today’s reintroduction of the Right to Equitable and Professional Auto Industry Repair (REPAIR) Act marks an important step forward in limiting unfair repair restrictions and empowering consumers to fix their vehicles on their own terms.”
“NFIB is excited to work with and support Rep. Dunn on this important legislation. The REPAIR Act is a much-needed piece of bipartisan legislation to increase competition in the automotive repair industry,” said Andrea McGee, principal of federal government relations at NFIB. “Almost 90 percent of NFIB members support right to repair, making it one of NFIB’s top 10 priorities. NFIB thanks Rep. Dunn for his tireless work on this issue that impacts so many small businesses across all industries.”
“MEMA Aftermarket Suppliers thanks Congressman Dunn for reintroducing the REPAIR Act. This bill is a critical step toward protecting consumer choice, competition and innovation in the automotive aftermarket. Ensuring fair access in a cybersecure way to critical repair and maintenance data allows aftermarket manufacturers to continue innovating and providing high-quality, affordable parts to consumers. Without this access, competition is stifled, costs will rise, and consumer choice will be diminished. MEMA Aftermarket Suppliers strongly supports this legislation to protect a vibrant and competitive aftermarket that benefits drivers, repairers, and manufacturers alike,” said Paul McCarthy, president of MEMA Aftermarket Suppliers.
“PAMA’s member companies and independent automotive maintenance shops around the country play a vital role, ensuring that consumers have access to timely and cost-effective repair options for their automobiles,” said Justin Cialella, former PAMA president and chair of the Government Affairs Committee. “We commend and applaud Congressman Dunn for his leadership on the REPAIR Act, a critical milestone in our industry’s effort to protect consumers rights, preserve a fair marketplace with regard to vehicle telematics, and combat deceptive marketing practices.”
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By Counterman
Valvoline announced that its Restore & Protect motor oil has been named 2025
link hidden, please login to view winner in the car care category. The company said the product was selected for this honor through a national study of 40,000 American shoppers, as surveyed by Kantar, a consumer research firm. As the largest consumer-voted awards program recognizing product innovation, the Product of the Year award is recognition of the benefits Restore & Protect offers to consumers, link hidden, please login to view said. Launched in January 2024, Valvoline said
link hidden, please login to view is the first motor oil designed to effectively restore a car’s engine to perform like new. The company said its product continues to challenge traditional views of the role motor oil plays in engine care and is setting a new benchmark for performance in the industry. “As we constantly strive to deliver exceptional products to our customers, we are honored to be chosen by consumers as a 2025 Product of the Year award winner,” said Greg Barntsen, Valvoline Global operations general manager – Americas. “Restore & Protect is not only on the forefront of value-added innovation in our industry, it’s a reflection of Valvoline Global’s commitment to inventing the way forward with innovative solutions to global automotive challenges.”
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By Counterman
Valvoline Global Operations announced its recognition as a winner in the 2025 BIG Innovation Awards, presented by the Business Intelligence Group. The honor highlights Valvoline’s Restore & Protect motor oil, which the company said is a “first-of-its-kind innovation that restores engines to run like new by removing up to 100 percent of engine-killing deposits when used as directed.” This high-performing product is recognized as driving transformative impact in the motor oil, lubricants, and coolants industry,
link hidden, please login to view said. “We have a rich history of putting innovation into action in the automotive lubricant category. Restore & Protect is a product that showcases our commitment to being at the forefront of our industry,” said Greg Barntsen, Valvoline Global Operations general manager – Americas. “The product truly redefines what motor oil can achieve, and this award is a testament to our commitment to inspiring progress while meeting the needs of our consumers and customers.”
“Humanity relies on innovation to improve our lives and the planet,” said Russ Fordyce, CEO of the Business Intelligence Group. “We’re thrilled to spotlight Valvoline’s Restore & Protect motor oil as a shining example of innovation making a profound impact globally.”
A news release from
link hidden, please login to viewexplained that the 2025 BIG Innovation Awards celebrate organizations and individuals pushing boundaries and advancing their industries. Winners are evaluated by a panel of seasoned business leaders and executives who consider creativity, measurable results and overall impact in their selections. The post
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By Counterman
There is nothing simple about complex engine oil formulations. Effectively explaining to your customer how Valvoline’s Restore & Protect motor oil removes and prevents engine deposits may seem like a tough task.
Dr. Michael Warholic, global technology director for Valvoline Global Operations, emphasizes the importance of visual evidence
“Hey, look how this product performs,” said Warholic. “We have visuals showing that there’s a removal of deposits, that there is a reversing of the aging process in an engine. That’s a great case story to tell.”
Warholic talks with Babcox Content Director Jason Morgan about the formulation process that sets Restore & Protect apart. The process involves a balance of various additives and components, tested rigorously in both laboratory and real-world conditions. It also involves combining base oils, viscosity modifiers, and a unique blend of additives. These additives include detergents to clean deposits, friction modifiers to reduce engine strain, and antioxidants to combat the breakdown of oil components. The goal was to create a motor oil that not only prevents the formation of new deposits but also removes existing ones, effectively rejuvenating the engine.
“We wanted to do something different than everybody else,” said Warholic. “That’s what Restore and Protect does. It differentiates us from our competitors. It does something that no other oil does in the marketplace right now.”
Restore & Protect could be considered a new category of motor oil that bridges the gap between conventional oils and high-mileage formulations. While high-mileage oils are designed for older engines, Restore & Protect is suitable for both new and aging engines. Its dual function of preventing new deposits and reversing existing ones makes it a versatile choice for a wide range of vehicles.
This innovation is particularly valuable for engines operating under severe conditions, such as those used for towing or in high-traffic areas. The oil’s ability to handle these demanding environments while maintaining engine cleanliness offers a significant advantage over standard motor oils.
“There’s always engine oil. Formulating is a little bit about give and take. The engine is a very complex machine. You have different temperatures, different pressures. It is really a very interesting field when you start digging into it.”
“We do tons of data-driven testing. That’s what we live for.”
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By Counterman
This article, contributed by Tom Cook, is courtesy of link hidden, please login to view
All companies engaged in the global supply chain seek to lower the “landed costs” on their goods in imports and exports sales, purchasing and operations.
While there are numerous components that make up “landed costs,” duties, taxes and tariffs are a huge factor and can often be a detriment to global trade.
Duties, taxes and tariffs are costs borne by the importer as the goods enter a country. These fees are assessed by the country’s local customs authority. In the USA, this is the U.S. Bureau of Customs Border and Protection (CBP).
These fees are determined by what the product is and where it is from. The “what” is known as the HTS (Harmonized Tariff Schedule) and the “where” is the actual origin country of the product.
While some of the guidelines are standardized from one country to another, we must understand that the customs rules and their interoperation often vary differently from one country to another. Sometimes the differences are slight and in other countries the differences are huge.
The importer of record (IOR) has the primary responsibility to determine the correct HTS and origin upon entry of the goods for customs clearance in the country of import.
Most importers utilize the services of freight forwarders, customhouse brokers and/or 3PL’s to provide these clearance services, as well as rely on their expertise to accomplish the clearance process in a successful and compliant manner.
Importers may also obtain the assistance of these service providers in determining the correct HTS classification and
the origin.
Importers are legally responsible to exercise:
• Due Diligence
• Reasonable Care
• Supervision & Control
These standards are the responsibility of the importer of record (IOR). If the IOR outsources the responsibility to a customs broker, under the “supervision & control” standard, the IOR is still responsible for supervising and controlling for the statements and information provided by this third-party on their behalf.
This standard requires the importer to have a working knowledge of the import regulations and be able to properly supervise their outsourced provider.
Customs recognizes that an importer may need guidance in the clearance process. This may be received from CBP, a qualified consultant, a customs attorney or a practitioner that has expertise in customs regulations.
It is critical to understand the steps in managing duties, taxes and tariffs. The first is to understand how the import regulations apply, followed by learning what measures can be taken to mitigate the risk and cost associated with duties, taxes and tariffs. If the origin and the classification are the controlling factors, it is important to understand that this is where the answers lie to mitigation.
For example, Section 301 tariffs on certain goods exported from China into the U.S. may add as much as a 25% surcharge to the import landed cost. This resulted in many companies seeking out alternative sourcing options to avoid this surcharge.
In addressing alternative sourcing options, nearshoring, reshoring and friend shoring – countries such as but not limited to Vietnam, S. Korea, Taiwan, Malaysia – all presented viable options.
In some situations, the acquisition cost may have been higher, but when calculating the landed cost, with the 25% duty eliminated, the comparison demonstrated a viable alternative to the importer.
Companies involved in aftermarket sales, where margins are tight, can benefit from this type of analysis and mitigation strategy.
Another strategy involves the Harmonized Tariff Schedule, or what the product is, from CBP’s perspective.
First, we want to make sure we are utilizing the proper HTS number. It can be possible that the correct HTS number, when changed, will offer a lower duty rate.
Secondly, what we refer to as “Tariff Engineering” is a legitimate manipulation of a product’s design or materials that impacts its classification and potentially lowers the duty rate.
The choice of materials, the functionality of the product, product specifications or qualities all impact how a product is classified.
For example, changing the make-up of the materials utilized in fabrics, such as the mix of cotton, rayon, nylon, etc. will change the classification of a product. Features such as changing the product to be waterproof and adding other qualities may also change the tariff classification and impact the duty rate.
Another example may be how the product is designed; for example, for personal utilization or for commercial application, may have an impact.
How parts and equipment are assembled and utilized can also have an impact on the classification as well as the origin.
The amount of “value-add” in the manufacturing or assembly process can also impact how CBP will view the origin and/or the HTS, therefore directly impacting the duty rates.
Tariff Engineering requires R&D, engineering, and technical support, as well as guidance from trade professionals that can assist in interpreting the import regulations and research prior CBP rulings.
CBP has a great resource called CROSS which is a searchable database of CBP rulings that can be retrieved based on simple or complex search characteristics using keywords and Boolean operators. CROSS has the added functionality of cross-referencing rulings from the initial search result set with their modified, revoked or referenced counterparts.
Rulings collections are separated into Headquarters and New York and span the years 1989 to present. Collections can be searched individually or collectively.
CROSS can be an excellent resource in managing the impact of duties and tariffs on
landed costs.
Duties, taxes and tariffs often emanate from political and economic positions from government offices and agencies. We witnessed this when President Trump put forward the 232 and 301 Tariffs in his first year in office.
China then secured retaliatory duties. We have seen these similar actions in the EU, Australia, Mexico and Canada.
Personnel in the aftermarket engaged in global supply chain purchasing, sales and operations need to pay attention to the political and economic situations in the countries they do business in, as regulations impacting duties and tariffs change frequently with both positive and negative consequences.
Additionally, trade organizations’ lobbying efforts should be followed with the Executive Branch and Congress. These efforts seek to keep open free trade concepts and minimize the utilization of duties and tariffs as political and economic weapons in global affairs.
Studies have been accomplished that clearly demonstrate the negative impact of tariffs on manufacturing, distribution, and trade costs in the global supply chain.
While many tariffs are designed to protect industries or certain markets, they generally wreak havoc in global trade and have negative impacts.
The automobile industry, its suppliers and ancillary industries such as the aftermarket are significantly impacted by duties, taxes and tariffs.
In controlling “landed costs,” duty and tariff mitigation as outlined above are all good strategies, but there are other options that also should be considered:
• Utilization of Foreign Trade Zones
• Consolidating Transportation Providers and Carriers
• Running annual Freight RFP’s
• Choice of INCO Terms
• Alternative Sourcing
• Free Trade Agreements
• Location and methodology in warehousing, fulfillment, and distribution
• Utilization of Technology
• Demand Planning Systems
In summary, developing strategies in tariff mitigation is a viable solution to duty and tariff management and ultimately lowering landed costs and enhancing your company’s competitiveness in both import and export purchasing
and sales.
Thomas Cook is Managing Director of Blue Tiger International, a global consultancy advising on supply chain management, trade compliance, purchasing, trade and disruption management, global business and logistics. For more information, go to www.bluetigerintl.com. Tom can be reached directly at tomcook@bluetigerintl.com.
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