Alliance for Automotive Innovation, NADA and MEMA Call on White House and Congress to Pass Economic Stimulus Package to Address COVID-19 Impact
TYSONS, Va. (March 23, 2020) Today, heads of the Alliance for Automotive Innovation, the National Automobile Dealers Association (NADA) and the Motor & Equipment Manufacturers Association (MEMA) sent a joint letter to congressional leaders—including Speaker Nancy Pelosi, Senate Majority Leader Mitch McConnell, Senate Democratic Leader Chuck Schumer, House Majority Leader Steny Hoyer and House Republican Leader Kevin McCarthy—calling for swift passage of an economic stimulus package to address the impact of the escalating COVID-19 health crisis.
With 10 million jobs supported by the U.S. auto industry and $2 trillion in economic output from auto manufacturing, sales and service, the Alliance, NADA and MEMA have asked Congressional leaders and the White House to enact policies that provide immediate economic relief broadly, as well as to the auto industry, and that help all businesses work through the challenges arising from the coronavirus pandemic.
“Stalling sales and halted production threatens a vast network of businesses in every state, which is why Congress and the Administration must take important steps to pass a robust economic stimulus package that can assist businesses large and small as they work to confront the challenges that they face due to events beyond their control,” said organization leaders John Bozella, Peter Welch and Bill Long.
Forecasts by auto industry analysts predict that the coronavirus pandemic will lead to a decrease in auto sales of as much as 40 percent in March compared to 2019—negatively impacting not only the auto industry, but the larger American economy. The Alliance, NADA and MEMA proposed potential provisions for any economic stimulus package, including the creation of credit facilities, tax deductibility on paid leave provided at companies with more than 500 employees, delayed or deferred quarterly tax payments, expanded expensing for machinery and equipment and delayed USMCA implementation.
“Enacting these policies in the immediate term would help moderate the impact of the economic situation our nation faces which will assist businesses and workers as we work to get various parts of our economy moving again in the coming weeks and months,” continued the Alliance, NADA and MEMA.