If Congress doesn’t pass legislation to guarantee a national right to repair vehicles, Americans might face an extra $34 billion in annual costs by 2035, according to a study from MEMA aftermarket suppliers.
A study by Roland Berger, a global consulting firm, revealed that tighter repair restrictions on independent shops and aftermarket manufacturers could lead to vehicle owners spending between $185 and $225 more per vehicle each year.
MEMA represents over 1,000 members in North America, including automotive suppliers and parts manufacturers.
“This study highlights that repair restrictions are already increasing costs, eliminating jobs, and harming our communities,” stated Paul McCarthy, President of MEMA’s Aftermarket Suppliers. “If Congress doesn’t step in to pass the Repairs Act, this issue will only get worse for manufacturing workers, small businesses, and consumers who are already struggling with repair costs.”
The aftermarket vehicle supplier sector includes 350,000 businesses and sustains more than 4 million jobs.
The study gathered insights from various automotive stakeholders and utilized both publicly available data and surveys conducted via phone with repair shops.
It found that independent repair shops are grappling with restrictions when it comes to diagnosing and fixing newer cars, with 29% noting a drop in their capabilities over the last five years.
Additionally, 40% of repair shops mentioned limited parts availability, while 25% indicated that tools necessary for servicing modern vehicles were absent. If the right to repair protections aren’t implemented, the market share for independent aftermarket parts could plummet from 55% to just 30%.
The study identified several technical barriers impacting the right to repair, including:
- Increased vehicle data being secured by cybersecurity measures
- Independent aftermarket tools being restricted to just data reading
- ADAS components necessitating calibration after common repairs
- High-end OEMs requiring activation of replacement parts through specific systems
This past April, Senators Josh Hawley (R-Missouri) and Ben Ray Lujan (D-New Mexico) introduced the Senate Repair Act, designed to establish guidelines for car repairs and potentially lower repair costs.
Hawley remarked that large companies often control essential information that belongs to car owners, effectively compelling consumers to pay a set price whenever they take their vehicle in for servicing. He added that bipartisan support for the Repair Act would dismantle this corporate monopoly over diagnostic and service data, enabling consumers to repair their vehicles at more affordable prices.
Lujan added: “Car owners deserve choices when it comes to safe, reliable, and affordable repairs. Access to maintenance data is vital for improving repair options. I’m pleased to work with Senator Hawley on this bill to bolster support for vehicle owners and repair shops.”
Justin Rzepka, Executive Director of the CAR Coalition, expressed gratitude to Senator Hawley and the co-sponsors of the Repair Act. He emphasized that American consumers should have the choice to opt for independent repair shops or fix their vehicles themselves, rather than face restrictions from automakers concerning vehicle data.
A poll conducted by the Talance Group for the Central African Union revealed bipartisan support for the right to repair, showing that 84% of Republicans and 82% of Democrats back the Repair Act.
