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ARA urges FTC to monitor automakers

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Oct. 28, 2011—The Automotive Recyclers Association (ARA) this week filed comments with the Federal Trade Commission and urged the agency to closely monitor auto manufacturers to see if claims are unfair and deceptive.

The ARA is concerned because it says it has seen an increasing number of statements by automakers that seem designed to make the collision repair industry and consumers doubt the viability of recycled auto parts.

Earlier this year the ARA raised concerned with the FTC. In June 2011, the commission then alerted consumers. While the association believes that’s a positive first step, it thinks the FTC needs to “stand guard,” according to a news release_notes, as automakers continue to encourage the purchase of new OEM parts.

“Although maybe permissible on its own, when taken into consideration with past statements and other actions these activities could demonstrate an effort by automobile manufacturers to limit competition in the collision repair industry and discourage consumers from using cost-effective and environmentally friendly recycled automotive parts,” said Michael Wilson, ARA CEO.

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