NADA, Industry Partners Urge Congress to Act on Catalytic Converter Anti-Theft Bill

Published May 16, 2022

TYSONS, Va. (May 16, 2022)—The National Automobile Dealers Association, joined by 12 industry partners, sent a letter today to U.S. House Energy and Commerce Committee Chairman Frank Pallone (D-N.J.) and Ranking Member Cathy McMorris Rodgers (R-Wash.) in support of H.R. 6394, a bipartisan bill to combat rising catalytic convertor theft in the U.S. The “Preventing Auto Recycling Theft (PART) Act” is the first congressional bill to address the growing national problem of catalytic converter thefts, which are costing businesses and vehicle owners millions of dollars annually.

“Catalytic converter theft is a major concern for dealers nationwide,” said NADA president and CEO Mike Stanton. “The PART Act would help deter catalytic converter thefts that are impacting dealerships, fleet businesses and consumers alike.”

Catalytic converters are being stolen at increasingly higher rates due to their valuable metals, such as rhodium, platinum and palladium. Stolen catalytic converters can garner anywhere from $20 to $350 on the black market, and the replacement cost to vehicle owners can be as high as $2,500. At present, thefts are hard to combat as catalytic convertors are not easily traceable and can be stolen from unattended vehicles in mass quantities, including at dealership lots.

As the nation observes National Police Week (May 11-17), the organizations who have signed the letter urge Congress to pass this legislation that provides a federal framework needed for local law enforcement to combat catalytic converter thefts. The PART Act will require that new vehicles have unique identifying numbers stamped on catalytic converters during assembly, as well as establishes a federal criminal penalty for the theft, sale, trafficking or known purchase of stolen catalytic convertor.

“I cannot overstate the gravity of catalytic convertor theft across the country,” said Scott Lambert, president of the Minnesota Automobile Dealers Association (MADA). “Vehicle owners, including dealers and fleet owners, are collectively losing millions of dollars from these thefts, and in light of the global supply chain shortage, it is difficult and extremely costly to replace catalytic converters. I urge Congress to move this issue forward and hold a hearing to explore remedies for the millions of stakeholders impacted.”

Signers of the letter are: