Lawmakers are continuing to work towards a compromise on the two competing Cash for Clunkers bills currently in the house and senate. According to a new article in the Detroit News, the House of Representatives is close to producing a single bill that would combine the environmental and economic interests in a way that would benefit everyone involved, at least in theory. The piece also cites a report by CSM Worldwide that says a Cash for Clunkers type bill could introduce as much as $25 billion into the U.S. economy and boost auto sales by up to 1 million units.
Not everyone’s thrilled at the prospect of Cash for Clunkers legislation becoming law. Every day brings more and more aftermarket affiliations out of the woodwork to warn of unintended negative environmental impacts. An article on SearchAutoParts.com pointed to claims from the Automotive Aftermarket Industry Association that warned without a fleet of aging cars on the road, the aftermarket industry will suffer. The article also warned that a lack of aftermarket parts will ultimately raise the cost of repairs for cars that don’t get scrapped.
Regardless of what the AAIA has to say about Cash for Clunkers legislation, it’s hard to argue with the sort of success European programs have enjoyed. Bolstered by that success, American lawmakers seem driven to come up with a compromise soon. [Sources: DETNews and SearchAutoParts]
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