Just One Thing You Auto Know: Week of February 13, 2017

The only thing 'You Auto Know' this week:

AIADA needs YOU in Washington, D.C., on March 8-9 for our Urgent Capitol Hill Fly-In to fight back against a proposed border adjustment tax (BAT).

Why:
Congress has proposed a 20 percent tax on all goods and services entering the U.S., including autos and their parts. It is anticipated that the BAT would drive up the cost of every vehicle on dealer lots by an average of $2,300, resulting in a $28 billion impact per year on the American motor vehicle industry. This impact includes your dealership, your employees, and your customers. Click here to learn more about the BAT. 

What:
Join AIADA in Washington, D.C., on March 8-9 to let your members of Congress know why you oppose the BAT. There is no registration fee for this special event, which will include a dinner featuring political pundit Charles Krauthammer, a special legislative briefing breakfast, and visits with your legislators on Capitol Hill—which will be arranged on behalf of all registrants by AIADA.

Register:
Don't wait—click here for complete information and to register for this Urgent Capitol Hill Fly-In, or call 1-800-GO-AIADA.

You Auto Know...All About the BAT: Week of February 6, 2017

SPECIAL EDITION: Border Adjustment Tax

The Border Adjustment Tax (BAT) continues to be an issue at the top of Congress’ agenda and we need your help to #StopTheBAT. AIADA is planning a special Capitol Hill Fly-In for dealers on March 8-9 to push back against the BAT. We’re asking you to mark your calendars to attend this important event and meet with your legislators. Now is the time to weigh in on how a tax like this would devastate dealerships, dealer employees, and regular American consumers.

The BAT proposal, which is part of the House Republican “Better Way” Agenda, will hit American consumers hard, and is setting off alarm bells across our entire industry. Dealers are especially concerned because the tax would drive up the cost of every single vehicle sold in their stores, even those assembled in the United States. A recent study conducted by Deutsche Bank, pegs the average price increase at $2,300 per vehicle, reducing U.S. demand by 1.2 million units per year in the short term and 0.5 million units in the long term. So join us, and help #StopTheBAT.

CLICK HERE to register for the Fly-In – and stop this BAT.

CLICK HERE to learn more about the BAT.

CLICK HERE to send a letter to your Member of Congress.

Now, here’s what YOU AUTO KNOW…All About the BAT.

Urgent: Dealers Needed in D.C. to Fight the BAT (Paul on Point)

Welcome to Paul on Point – the blog my children, and grandchildren, are shocked I am writing.

I can’t blame them. Personally, I never envisioned myself as a blogger, but I am thankful to the past AIADA chairmen who started this online tradition. The Chairman’s Blog is a direct line to AIADA members, and I’m looking forward to using it to share the unvarnished realities I see in my role as Chairman.

While it’s still early in my term, I already have a critical call to action to make to our members – a fly-in AIADA has planned for March 8-9 to push back against the Border Adjustment Tax. We’re asking ALL AIADA dealers to mark their calendars and visit our BAT fly-in page for more information and to register to attend.

Border Adjustment Tax (BAT) legislation will soon move forward in the House of Representatives, so it is absolutely crucial that dealers be physically present on Capitol Hill. We need to meet with our representatives and educate them on the shattering impact a 20 percent tax on imported vehicles and parts could have on our businesses, customers, and employees. This tax, which is entirely separate from anything in President Trump’s agenda, was born in the House Ways and Means committee and was once described by the President as, “too complicated.”

To read more from Paul on Point, please click HERE.

GOP Plan to Overhaul Tax Code Gets Held Up at the Border (The Wall Street Journal)

Republicans see a once-in-a-generation opportunity to overhaul the U.S. tax code. Just weeks into Donald Trump’s presidency, they are getting a taste of why such attempts are always confounding—every action creates an equal and opposite reaction.

A linchpin of the House Republicans’ tax plan, an approach called “border adjustment,” has split Republicans and fractured the business world into competing coalitions before a bill has even been drafted.

A border-adjusted tax would impose a levy on imports, including components used in manufacturing, and exempt exports altogether. Opposing it are retailers, car dealers, toy manufacturers, Koch Industries Some retailers and other big importers doubt the dollar would rise that much. They warn of tax bills that would exceed profits, forcing them to pass costs to consumers. Some are in the early stages of working on an alternative plan they can present to lawmakers, says a person familiar with those plans.

Cody Lusk, president of the American International Automobile Dealers Association, says his members are shocked that a Republican Congress is proposing a 20% tax on imports.

“We view this as a very, very serious potential blow to the auto sector and the economy,” says Mr. Lusk, whose members sell Toyotas, Hondas and other cars from foreign-headquartered companies.

He likes aspects of the House plan, “but when we look at the whole, I don’t think the juice is worth the squeeze.”

To read more from The Wall Street Journal, please click HERE.

Former Sen. Gramm Urges Senate to Fight GOP Border Tax (CQ Roll Call)

Former Sen. Phil Gramm leveled a broadside attack Wednesday on the House GOP border adjustments plan, as leaders of both chambers deployed economic experts on opposite sides of the revenue-raising proposal.

The Texas Republican, now a consultant and private equity fund vice chairman, confirmed in an interview that he had taken a strong stand against the House GOP proposal while a guest at the Senate Republican policy lunch.

Under border adjustments, imports would be taxed while exports would be excluded when businesses file their tax returns. It would raise $1.2 trillion over 10 years, according to the Tax Policy Center.

“I think that it’s a dangerous policy. And I think no one has thought through and understands the adjustment mechanism — It would disrupt 28 percent of the economy,” said Gramm, a former economics professor who still advises Majority Leader Mitch McConnell on policy issues.

He cited the combined share of gross domestic product that is linked to both imports, about 13 percent of GDP, and exports, about 15 percent of GDP.

“It’s all with the idea that somehow we’re going to collect some revenues. It’s too risky for me,” Gramm said.

To read more from CQ Roll Call, please click HERE.

In Trade and Tax News

Reform, Including a Border Adjustment Tax, Will Happen This Year, Chief GOP Tax Writer Says (CNBC)

A Taxing Proposal: Our View (USA Today)

Your Car Could Cost Up to $17,000 More With the Proposed Border Tax (Bloomberg)

In Auto News

Mitsubishi Debuts Outlander Sport Limited Edition (The Detroit News)

The Most Annoying New Car Features (Forbes)

Study: Consumers Ready to Buy EVs if Product Right (WardsAuto)

Friday Funny

Nothing funny this Friday, but must see videos for you to watch. Two great videos on the BAT: first, Sen. David Perdue stating his concerns with the BAT; and second, a CNBC discussion on BAT.

Sen. David Perdue Interview

CNBC Discussion

You Auto Know...All About the BAT: Week of January 30, 2017

SPECIAL EDITION: Border Adjustment Tax

 You Auto Know has transformed into You Auto Know…All About the BAT.

Congress has proposed a new 20 percent tax on all goods or services imported into the U.S.; it’s called the Border Adjustment Tax (BAT). It would apply to all autos and auto parts coming across our border into the United States, even from countries with which we have existing trade agreements. No car made in America has 100 percent domestic content. Therefore, this 20 percent import tax will increase the price on ALL new vehicles. This proposal is part of the House Republican Ways and Means “A Better Way” agenda; it is not a plan that President Trump has offered.

AIADA supports pro-growth, comprehensive tax reform, but believes the BAT provision currently being deliberated by the House of Representatives will have unintended consequences that will cause harm to auto dealers and their business, their employees, and their customers. A recent Deutsche Bank study found: “…that border adjustments could increase the cost of an average vehicle by $2,300, reducing U.S. demand by 1.2 million units per year in the short term and 0.5 million in the longer term. Consumers will also have to absorb the effects of higher regulatory cost ($2000 over 5-years) and interest rates.” AIADA opposes the BAT and is working to make sure it is not included in the final tax reform package.

AIADA is your resource center on this issue. So, stay tuned and stay alert. Learn all you need to know about the BAT and what you can do to help #StopTheBAT.

CLICK HERE to learn more about the BAT.

CLICK HERE to send a letter to your Member of Congress.

Now, here’s what YOU AUTO KNOW…All About the BAT.

Border Adjustment: The War Officially Begins (Axios)

Background: House Speaker Paul Ryan thinks the only way he can pay for massive tax cuts is through a $1.2 trillion revenue plan known as "border adjustment" that raises taxes on imports and lowers them on exports.

Fighting for border adjustment: The “American Made Coalition”, a coalition of more than 25 American businesses. GE is playing a leading role and hosted coalition partners at its D.C. offices recently. Boeing is another big player on this side of the fight. Other industries include manufacturing, high tech, software, medical device production, agriculture, energy production, biopharmaceuticals and information services.

Oh, and Paul Ryan, House GOP leadership, Trump's chief strategist Steve Bannon and (maybe) a lukewarm President Trump.

Fighting against border adjustment: "Americans for Affordable Products." As the AP reports: "More than 100 retailers including Wal-Mart and Target as well as key trade associations are launching a new coalition" aimed at fighting border adjustment. The coalition includes The National Retail Federation, along with the American International Automobile Dealers Association, the National Grocers Association. Walmart is a major hitter in this group and the well-funded Koch network will be supporting the opposition to border adjustment.

Why this matters: It's the biggest fight of the tax season. But, as we have reported, Ryan has his work cut out for him. Especially in the Senate.

To read more from Axios, please click HERE.

Retailers, Auto Groups, Others Announce Coalition Opposing Border Adjustable Tax (World Trade Online)

More than 100 companies and industry organizations have formed a coalition, “Americans for Affordable Products,” to oppose the border adjustable tax portion of the House Republican tax reform blueprint, a provision some analysts say could lead to a World Trade Organization dispute resulting in massive retaliation against the U.S.

The coalition will engage in a “national campaign” to convince lawmakers and the public that a border adjustable tax as envisioned in the House GOP blueprint will increase the costs of basic items for consumers, including food, gas and clothing, the group said in a Feb. 1 press release.

Among the coalition's members are retail industry groups like the National Retail Federation, the American Apparel & Footwear Association, Footwear Distributors & Retailers of America and numerous state-level retail coalitions. Large companies such as Gap, Target, Walmart, QVC, Rite Aid, Nike, Petco, Macy's, Best Buy, Ikea and Pernod Ricard have also signed on.

Auto companies and organizations, including the Association of Global Automakers, AutoZone and the American International Automobile Dealers Association, are involved as well.

The border adjustable tax would function as a consumption-based tax that essentially exempts revenue from exports from taxation but generally prevents deductions for imports. It would also have the effect of shifting the tax base to consumption in the U.S., a major overhaul of the federal tax system.

To read more from World Trade Online, please click HERE.

Auto Industry: Possible Border Tax Would Raise Prices, Even On American-Made Cars (Consumer Reports)

Facing a possible new tax on imported goods, some of the biggest name in auto manufacturing and retail are calling on lawmakers to rethink the tax, claiming it will hurt their businesses and lead to higher prices.

While no actual legislation has been introduced, the proposal that has been kicking around Capitol Hill for the last month or so involves cutting the current corporate income tax rate of 35% to 20%. To make up for that rate drop, companies would no longer be able to deduct the cost of imported goods from their profits.

So, for example, imagine a U.S. company that imports $1 million worth of product, and sells them for $2 million stateside after spending about $500,000 domestically, resulting in a profit of $500,000.

Under the current tax code, the company deducts the import and domestic expenses, and pays 35% tax, but only on the $500,000 profit. If this proposal is put in place, that company would not be able to deduct the $1 million of import costs, so it would pay the lower 20% tax, but on $1.5 million instead of $500,000.

Given the volume and cost of imported cars into the U.S., it’s little wonder that the automotive industry is making a big push for Congress to rethink this tactic.

The American International Automobile Dealers Association — a trade group that lobbies lawmakers on behalf of some 9,500 U.S. car dealers — has called on its members to pen letters to legislators, arguing that automaking is an inherently international industry, so taxing imports is going to drive up the cost of vehicles regardless of where they are assembled.

“Auto parts would be subject to a BAT, so even the most American-made vehicle sold in the U.S. today – the Toyota Camry – would be subject to a significant price increase,” writes AIADA. “Rising prices will drive away regular Americans looking for a new car and, as a result, vehicle demand will drop. Both American auto manufacturing plants and retailers like you will feel the pain, and be forced to shed jobs.”

To read more from Consumer Reports, please click HERE.

In Trade and Tax News

U.S. Tax Plan Would Break WTO Rules, Lawyers Say, As EU Business Frets (Reuters)

Here's a Glimpse of the Global Trade Carnage From a U.S. Border Tax (Bloomberg)

Hatch Has Questions About House GOP Border Tax (The Hill)

In Auto News

Auto Industry Begins 2017 with a Steady Pace (AIADA’s Market Watch)

Volkswagen to Pay $1.2 Billion to U.S. Vehicle Owners Affected by Emissions Scandal (The Wall Street Journal)

Dealers Inch Closer to Full Online Sales (Automotive News)

Friday Funny

Many of you watch the Super Bowl for the football, but there are many who watch for the commercials. For you commercial lovers here’s a little preview.

Budweiser, Skittles, Mr. Clean, More: Watch Every 2017 Super Bowl Commercial Already Released (USA Today)

The Week in Review: The Week of January 16 - 25, 2017

Capitol Hill and Pennsylvania Avenue

The past ten days have been a busy time in D.C. The main attraction was the inauguration ceremony of Donald J. Trump to become the 45th President of the United States. Republican, Democrat, or Independent, we can all agree the peaceful transfer of power in the United States is something we are all thankful for and support.

President Trump hit the ground running with executive orders to freeze regulations and freeze federal employee hiring. He continued to move forward this week with additional orders to renegotiate the North American Free Trade Agreement (NAFTA) and remove the U.S. from the Trans-Pacific Partnership (TPP). In his executive order on the TPP, the President encouraged talks on smaller bilateral agreements to begin as soon as possible.

Congress continued to move forward with its agenda over the week. The main focus was in the Senate where President Trump’s cabinet nominees progressed further in the process toward final confirmation. Two of the president’s nominees were confirmed immediately following his swearing in: Gen. John Kelly (Department of Homeland Security), and Gen. James Mattis (Department of Defense). Subsequently, Rep. Mike Pompeo (Central Intelligence Agency), and Gov. Nikki Haley (Ambassador to the United Nations) were confirmed. The remaining nominees are still going through the hearing process and will be voted on over the next few weeks.

Border Adjustment Tax

The Border Adjustment Tax (BAT) continues to be at the top of our agenda on Capitol Hill. House Republicans are moving forward with their plan to put a BAT in place in their tax reform plan. AIADA believes “You Auto Know” that this issue is being discussed, is part of a Capitol Hill proposal, and will directly affect you and your business. AIADA will continue to keep you up to date on the BAT. To find out more about the BAT, read AIADA President, Cody Lusk’s letter to the AIADA membership. Also, watch Cody’s CBT News interview.

Annual Meeting and Luncheon

Finally, if you’re heading to New Orleans for NADA’s annual convention in just a few weeks, make plans to join your fellow AIADA dealers on January 29 for our 47th Annual Meeting. Featuring keynote remarks from John Mendel, Executive Vice President at American Honda Motor Co., Inc., it's an event you can't afford to miss. We’ll also be talking about the BAT and giving you more information on the upcoming agenda in Washington, D.C.  

Don’t wait. Register today by clicking HERE.

 

Now, here’s what YOU AUTO KNOW.

Five Takeaways From Trump's Inauguration (The Hill)

Donald Trump was sworn in as the 45th president of the United States on Friday in Washington. 

The day’s events contained all the pomp and circumstance meant to signify the peaceful transition of power. But Trump’s combative first speech as president also showcased his intent to shake things up in the nation’s capital. 

Here are five takeaways from the inauguration.

Trump as schmoozer-in-chief 

President Trump’s predecessor, Barack Obama, was famously averse to glad-handing with members of Congress. 

Obama long faced criticism that his aloof style hurt his ability to persuade lawmakers to advance his agenda, an accusation he long disputed. 

If Friday was any indication, Trump won’t be accused of the same thing. 

He turned on the charm when he appeared with lawmakers at the Capitol to sign his first orders as president. 

He joked with congressional leaders in both parties and offered them pens after signing the papers, which included formal nominations. 

To read more from The Hill, please click HERE.

Executive Orders: What Trump Can And Can't Do (CNN)

President Donald Trump dives into the business of policy Monday, signing executive actions that remove the US from the Trans Pacific Partnership, enacting a federal employee hiring freeze (except for the military), and reinstating the "Mexico City policy" on abortion funding.

In doing so, he's utilizing his "executive power" — a wide, but vague, set of prerogatives granted to the US president in Article II of the Constitution.

Every president dating back to George Washington has used executive powers in some fashion or another — some more than others.

Trump's predecessor Barack Obama was an avid user of his executive powers. He followed a long tradition of presidents using unilateral moves to bypass resistant lawmakers.

Here are some things to know about President Trump's unilateral moves -- what they can accomplish and what they can't.

To read more from CNN, please click HERE.

Let's Bury The Idea Of A Border Adjustment Tax (Investor’s Business Daily)

There are serious problems with the U.S. corporate tax code: The corporate tax rate of 35% is the highest in the industrialized world, and U.S.-based companies are taxed at that rate when they bring overseas profits back into the country. For those reasons and more, there is widespread agreement that our corporate tax code is broken and in need of reform.

House Republicans now have a prime opportunity to undertake corporate tax reform, and they've proposed some pro-growth ideas, including rate reductions, incentives for investment, and reform in how purchases are expensed.

Unfortunately, all of that good reform could be wiped out by a separate complicated proposal from the House GOP that amounts to a costly new consumer tax called the Border Adjustment Tax (BAT).

Under the BAT, or border adjustability tax, imports are taxed and exports are exempted. Here's how that looks: A local retailer pays $40 to import a gadget that it then sells for $50. Under current tax law, that retailer can deduct its cost and only owe tax on the $10 profit. But, with a BAT in place, that retailer would owe corporate taxes on the full $50 sale price.

To read more from Investor’s Business Daily, please click HERE.

Border Tax Criticism Clouds Reform Push (The Hill)

President-elect Donald Trump's criticism of a Republican tax reform plan could complicate the effort to overhaul the tax code this year. 

In an interview with The Wall Street Journal, Trump expressed opposition to a part of the House GOP blueprint known as “border adjustment” that would tax imports and exempt exports from the corporate tax.

Congressional supporters of the idea see it as a way to prevent companies from moving jobs to other countries. But Trump called the proposal “too complicated” and suggested that it would not be needed in addition to tax cuts.

“Under the border adjustment concept, if somebody is making a motorcycle or a plane in our country, they’re getting a credit for the plane they make before they send it over to wherever it’s going,” Trump told the Journal. “And you don’t need that plus lower taxes and everything else.”

It’s unclear how strongly Trump is against the provision.

Trump has shown a willingness to be flexible on taxes; over the course of his president campaign, his tax plan moved closer to that of House Republicans. And Trump’s incoming White House chief of staff, Reince Priebus, has expressed interest in the border adjustment proposal in the past.

To read more from The Hill, please click HERE.

In Trade and Tax News

Taxing Imports Should Not Be Part of Tax Reform (Real Clear Policy)

How to Figure Out the Impact of Border Adjustments on Your Financials (borderadjustmenttax.com)

Wilbur Ross Vows to Push Trump’s Trade Agenda, Starting With NAFTA (The New York Times)

US Treasury Nominee Mnuchin: Will Enforce Trade Policies That Keep Dollar Strong (Reuters)

In Auto News

New AIADA Chairman Reaffirms Focus on Free Trade (Automotive News)

Wal-Mart Muscles Into Auto Sales (Automotive News)

Americans Have Fallen in Love With Little Big Cars (The Washington Post)

Friday Funny

“I hope you are as fun on the dais as you were on your couch.” – Energy Secretary Designee Rick Perry’s response when asked by Sen. Al Franken, D-Minn., if Perry enjoyed meeting him during an earlier private chat in Franken’s office. Click below to watch the video. (Fox News and video on Market Watch)

*Special Note: You Auto Know will be attending the AIADA Annual Meeting this week and will return the week of January 30, 2017.

The Week in Review: The Week of January 9, 2017

Border Adjustment Tax

Republican Leadership in Congress is continuing to meet this week with members of President-elect Trump’s team. They are working together to come up with a plan to replace the Affordable Care Act (ACA) and talking about what will come next on the legislative agenda. At the top of the list is a major tax reform bill; included in the House Republican proposal is a border adjustment tax (BAT). AIADA believes You Auto Know that this issue is being discussed, is part of a proposal, and will directly affect you and your business. AIADA will continue to keep you up to date on the BAT. Click here to read AIADA Chairman Greg Kaminsky’s blog post on the issue.

Congressional Floor Action

Also in D.C., the first full week of the 115th Congress is coming to an end and it’s been a busy one. The Senate hit the ground running and voted for a budget that puts in place a repeal of the ACA. The Senate Committees were also hard at work with the first of numerous hearings for President-elect Donald Trump’s cabinet nominees. Not to be left out, the House is also taking action and voting today on a path to repeal the ACA.

AIADA Annual Meeting and Luncheon

Finally, if you’re heading to New Orleans for NADA’s annual convention in just a few weeks, make plans to join your fellow AIADA dealers on January 29 for our 47th Annual Meeting. Featuring keynote remarks from John Mendel, Executive Vice President at American Honda Motor Co., Inc., it's an event you can't afford to miss. We’ll also be talking about the BAT and giving you more information on the upcoming agenda in Washington, D.C.  

Don’t wait. Register today by clicking HERE.

Now, here’s what YOU AUTO KNOW

OMG! House Republicans Are Preparing To Hit Consumers With A Horrible New Tax That Will Harm Trump And Hurt The Economy (Forbes)

Republicans in the House of Representatives are inadvertently setting a nasty political and economic trap for Donald Trump. Yes, it’s the Republicans, not the Democrats, who are ready to administer an unnecessary black eye to the new President. That’s not their intention, but it manifestly will be the result.

The vehicle for this unwitting GOP punch is a new exaction called the border adjustability tax. This levy will cost American consumers at least a trillion dollars over the next ten years. Knowing how Washington politicians calculate these things, you can bet the amount will end up being considerably more. Prices for everyday items, such as socks, shoes and household appliances, will go up. So will tech devices like the iPad, not to mention automobiles and trucks. Gasoline? Millions of Americans will pay an additional 30 cents or more per gallon at the pump. Lower-income and struggling middle-class Americans will get hit the hardest.

Few people are even aware of what the Republicans are getting ready to hit them with. There has been virtually no debate or public discussion about this new, horrible tax, yet in one of those strange fits of collective, self-destructive behavior, numerous GOP lawmakers are ready to enact it.

Here’s how, in essence, this sneaky, anti-consumer tax works. Importers will no longer be allowed to deduct an item as a business expense. To simplify things, let's say a store imports a pair of sneakers for $40 and then sells them for $50, making a $10 profit on which it would owe taxes. Under the Republican plan, however, the retailer wouldn't be able to deduct the $40 it paid for the sneakers. In fact, it would owe taxes on the entire $50! And who, ultimately, pays this tax? You, the consumer, in the form of higher prices or fewer choices of where you can shop. Retailers and their customers will be hit.

To read more from Forbes, please click HERE.

Paul Ryan And Trump Team Meet To Hash Out Tax And Obamacare Overhaul Plans (The Wall Street Journal)

House Speaker Paul Ryan (R., Wis.) and members of the Trump transition team met for more than two hours Monday night to try to sort out differences on their ambitious plans for overhauling the tax code and repealing the Affordable Care Act.

Around 7 p.m., Trump transition team member Reince Priebus, President-elect Donald Trump’s choice for chief of staff, entered Mr. Ryan’s chambers with Treasury Secretary-designate Steven Mnuchin, economic adviser Gary Cohn, chief strategist Steve Bannon, and Jared Kushner, the son-in-law Mr. Trump has designated as a senior White House adviser. Over a dinner of Italian food, the group hashed out policy ideas.

From the start, the agendas didn’t match. A senior GOP aide said the purpose of the meeting was to walk through the tax overhaul plan that House Republicans outlined last year. The Trump team had said the meeting was to focus on the budget, taxes, the Affordable Care Act and infrastructure, a broader portfolio of topics than envisioned by the Republican leader.

House Republicans are pushing a novel tax plan that relies on imposing the U.S. corporate tax on imports while exempting exports. That so-called border adjustment and other features of the plan would increase incentives for manufacturing to take place in the U.S. and limit the benefits companies can get from shifting their addresses and jobs abroad. But retailers, refiners and importers warn the approach would raise prices for consumers, if currency values don’t adjust as economists predict.

To read more from The Wall Street Journal, please click HERE.

Trump Planning To Give Cabinet Unusually Wide Latitude (Politico)

President-elect Donald Trump plans to give his Cabinet secretaries and top aides significant latitude to run their federal agencies, marking a sharp departure from Barack Obama’s tightly controlled management style, according to people involved in and close to the transition.

Members of Congress, transition team officials, real estate lawyers, lobbyists and executives in New York who know Trump expect him to be a chairman-of-the-board style manager in the White House.

Trump, they say, doesn’t usually like getting into day-to-day minutiae or taking lengthy briefings on issues. He doesn’t have particularly strong feelings on the intricacies of some government issues and agencies, these people say, and would rather focus on high-profile issues, publicity and his brand.

And he’s expected to grant his Cabinet lots of autonomy — at least until he sees something as a problem or an issue involves significant publicity or money.

The approach comes with upsides and downsides. On the one hand, Trump’s senior officials will likely be given plenty of latitude to act quickly and decisively without being constantly micromanaged by the big boss. But on the other hand, they will always run the risk of being blindsided when the incoming president decides on a whim to weigh in on some topic in their portfolio.

To read more from Politico, please click HERE.

In Trade and Tax News

If The GOP's Border Tax Adjustment Won't Close The Trade Deficit Then Why Do It? (Forbes)

These Trade Policies Will Hurt US Companies And Consumers (The Hill)

Border Adjustment Tax Is The Sleeper Issue In The House Republican Tax Reform Blueprint - Waking Up From A Long Winter’s Nap (The National Law Review)

In Auto News

Donald Trump's Tweets Shake Auto Industry (Detroit Free Press)

The Most Important Vehicles At The 2017 Detroit Auto Show (AutoNews)

VW Pleads Guilty To Conspiracy, Obstruction Of Justice; 6 Execs Charged (USA Today)

Friday Funny

Nothing funny this Friday, but a good video on the discussion of the Border Adjustment Tax by Adam Posen, the President of the Peterson Institute for International Economics on Bloomberg

The Week in Review: Week of January 2, 2017

On Tuesday, January 3, 2017, Members of the House and the Senate were sworn into office and officially became the 115th Congress of the United States. The Congress wasted no time getting straight to work. The House has already passed legislation to help roll back overreaching, last minute federal regulations. The Senate held a hearing on the Russian hacking situation and began scheduling nomination hearings for President-elect Trump’s cabinet nominees, which will start next week. Washington is back to work; however, the other side of Pennsylvania Avenue is still waiting for its start.

President-elect Trump and his transition team have been hard at work since immediately after the election. There are close to 4,000 political appointment jobs in each presidential administration. Finding qualified people to fill these jobs is an enormous task, but an important one. At noon on January 20th, the keys will be turned over to President-elect Trump and his administration; at that point their policy issues and agenda will come to the forefront.

AIADA is actively working on the issues important to the international nameplate autodealers. Those in the Congressional Republican leadership are making plans with President-elect Trump and his team to set the agenda. Specifically, we want to remind you of an issue we began talking about right before the December break, a major tax reform bill that may be moving quickly. Of particular interest to international nameplate auto dealers is the potential for a border adjustment tax (BAT). Such a tax is actually included in the House Republican proposal currently under discussion. It could add a 20 percent fee to any good or service imported into the United States, including autos and auto parts. AIADA is working hard to make sure the dealer’s voice is heard during this process. Continue to stay tuned for L.A.N. Action Alerts and Notifications.

Speaker Paul D. Ryan swearing in members of the 115th Congress on Tuesday.

Credit: Stephen Crowley (The New York Times)

 Now, here’s what YOU AUTO KNOW.

GOP Congress Storms Into Trump Era

Congressional Republicans are returning to Washington on Tuesday with high hopes for a new era under President-elect Donald Trump.

GOP lawmakers are eager to start work on an ambitious legislative agenda after gaining control of both Congress and the White House for the first time in a decade.

Though many congressional Republicans tepidly embraced Trump during the campaign, they’re increasingly optimistic that they’ll be able to work with him to pass big-ticket items like tax reform that have been non-starters during the Obama years.

Rep. Tom Cole (R-Okla.), a member of House leadership, said his Republican colleagues were “almost giddy” about the new session that’s beginning. 

"[Trump’s] really reached out to Congress in the transition,” he said. “We've got so much more favorable relationship with the new administration. ... We know if we can get things to the president's desk that they'll be signed.” 

Rep. Markwayne Mullin (R-Okla.) echoed those remarks, telling a local radio station that Republican lawmakers are “beside ourselves” with excitement.

The era of good feeling is spilling over into the upper chamber, where GOP senators will be responsible for clearing Trump’s Cabinet nominees as well as approving his pick to fill the late Justice Antonin Scalia’s Supreme Court seat.   

To read more from The Hill, please click HERE.

Ryan Standing Behind Border Adjustments Amid Industry Criticism

House Speaker Paul Ryan is standing behind a Republican plan to impose a “border adjustable” taxation system, despite a flurry of private sector criticism.

“The speaker is a strong supporter of border adjustability and believes it is a critical component of tax reform,” AshLee Strong, a spokeswoman for Ryan, said in a Wednesday email to Morning Consult.

The border adjustable system was unveiled last year as part of a House GOP tax overhaul “blueprint” that’s backed by Ryan. Under the proposed regime, imports would be subject to a tax and exports would be exempt. The aim is to generate revenue to pay for tax cuts while encouraging companies to manufacture inside the United States and export their goods abroad, rather than the other way around.

Strong’s reiteration of Ryan’s position came after the Wisconsin Republican on Wednesday rebuked President-elect Donald Trump’s push for punitive tariffs on U.S. companies that don’t invest domestically. In an interview with radio host Hugh Hewitt, Ryan said Congress is “not going to be raising tariffs.” He said tax reform, instead, would create the opportunity to help American businesses stay competitive.

To read more from Morning Consult, please click HERE.

Concerns About the “Border Adjustable” Tax Plan from the House GOP, Part I

The Republicans in the House of Representatives, led by Ways & Means Chairman Kevin Brady and Speaker Paul Ryan, have proposed a “Better Way” tax plan that has many very desirable features.

*Death tax repeal                                                            *Depreciation replaced with expensing

*Corporate tax rate dropped to 20 percent                         *No deduction for state and local taxes

And there are many other provisions that would reduce penalties on work, saving, investment, and entrepreneurship. No, it’s not quite a flat tax, which is the gold standard of tax reform, but it is a very pro-growth initiative worthy of praise.

That being said, there is a feature of the plan that merits closer inspection. The plan would radically change the structure of business taxation by imposing a 20 percent tax on all imports and providing a special exemption for all export-related income. This approach, known as “border adjustability,” is part of the plan to create a “destination-based cash flow tax” (DBCFT).

To read more from Forbes, please click HERE.

House Passes Bill to Overturn 'Midnight' Regulations en Masse

Legislation to allow Congress to repeal in a single vote any rule finalized in the last 60 legislative days of the Obama administration sailed through the House Wednesday, the second time in less than two months.

The GOP-backed Midnight Rule Relief Act, which passed the previous Congress in November, was approved largely along party lines by a vote of 238-184 on the second day of the new Congress, despite Democratic opposition.

If passed by the Senate and signed by President-elect Donald Trump, the legislation would amend the Congressional Review Act to allow lawmakers to bundle together multiple rules and overturn them en masse with a joint resolution of disapproval.

The White House has already threatened to veto the bill if it were to make it to President Obama's desk before he leaves office.

To read more from The Hill, please click HERE.

In Trade and Tax News

Trump's Tariffs Or Tax Reform: Which Will Congress Pick? (CNN Money)

Tax Policy: ‘Border Adjustability’ Is a Looming Risk for Markets (Barrons)

It's a new era for the United States Trade Representative (The Hill)

In Auto News

Toyota Reminds Trump It Has Invested More Than $21 Billion in U.S. Economy (NBC News)

Auto Industry Enjoyed Record Sales in 2016 (AIADA News)

10 Cars People Keep for 10 Years (CBS News)

Friday Funny

Members of the House and the Senate take the oath of office as a group in their respective chambers. Afterwards House Members and Senators go for reenactment photos and video; the Senate with Vice President Joe Biden, and the House with Speaker Paul Ryan. Check out the reenactments below.

Biden Being Biden One Last Time (Roll Call)

Paul Ryan on Twitter (@SpeakerRyan)

The Week in Review: Week of December 5, 2016

The 114th Congress is on the road to adjourning for the last time. The continuing resolution (CR) that was passed earlier in the year kept the government funded through December 9th, and with much negotiating, a fairly “clean” CR was passed by the House and the Senate is working towards approval. The CR will keep the federal government open for business until April 28, 2017. The decision was made between leadership and the incoming Trump Administration to not pass omnibus legislation for the fiscal year 2017 budget but to pass another CR into the spring that would then allow President-Elect Trump to have more input in the budget process.

As the 114th Congress leaves town, planning has already begun for the 115th Congress. Those in the Congressional Republican leadership are communicating daily with President-Elect Trump and his team to set the agenda. Under debate is what regulations need to be overturned, what laws can be repealed, and what legislation can be passed to put their solutions and ideas into action. While the agenda is still coming together, early indications show a major tax reform bill moving quickly. AIADA supports comprehensive tax reform and we look forward to working with leaders on this issue. But, of particular interest to international nameplate auto dealers is the potential for a border adjustment tax (BAT). Such a tax is included in the House Republican proposal currently under discussion. It would add a fee to any good or service, including autos and auto parts, imported into the United States. AIADA is working hard to make sure the dealer’s voice and perspective is heard during this process. Stay tuned for possible L.A.N. Action Alerts and Notifications.

Now, here’s what YOU AUTO KNOW.

Why Some Worry GOP Tax-Reform Plan Will Spark a Trade War

House Republicans' tax-reform plans risk a trade war and, some warn, even blowing up the WTO by giving American-made products a big tax advantage over their foreign competitors.

Even some sympathetic to the proposal worry it is practically inviting retaliatory tariffs from other countries, and could spark such a big row that it would unravel the entire WTO.

“There’s definitely going to be a problem with the WTO,” said Michael Graetz, a former top Treasury tax official in George H.W. Bush’s administration who now teaches at Columbia University. “You’re talking about opening up a huge can of worms.”

House Republicans scoff, expressing confidence their plans would pass muster with international tax agreements.

"We are now in the process of designing all aspects of our 'Build for Growth' tax plan to withstand any WTO challenge," Ways and Means Chairman Kevin Brady (R-Texas) said in a statement. "We're confident we can win any case."

The dispute adds a new layer of controversy to House Republicans’ tax-overhaul plans, beyond more predictable controversies over which tax provisions should stay and which should go.

To read more from Politico, please click HERE.

Koch Industries Alarmed Over GOP Tax Plan’s Border Adjustment

The industrial conglomerate run by libertarian billionaires Charles and David Koch on Wednesday said a key part of House Republicans’ tax reform plan would have “devastating” long-term consequences for the economy, teeing up a policy fight between congressional Republicans and one of their most influential champions.

However, a key Republican tax writer told Morning Consult he is standing by the idea, which is part of a broader plan to move to a more consumption-based system while incentivizing domestic production.

The target of Koch’s criticism is a “border adjustment” plan included in the House GOP blueprint for tax reform that came out in June. Under the plan, imports would be taxed using a consumption-based system, but exports would receive an exemption. Republicans say exports from the United States implicitly bear the cost of the U.S. income tax, while imports do not. This amounts to a penalty on U.S. exports. The rebate is intended to compensate for that.

To read more from Morning Consult, please click HERE.

Automaker Groups Seek to Block EPA from Finalizing MPG Rules

Trade groups representing nearly all automakers in the U.S. market have now asked the EPA to refrain from finalizing a rule to slash tailpipe greenhouse gas emissions through 2025 until after President Barack Obama leaves office.

Following a similar move by the Association of Global Automakers on Wednesday, the Alliance of Automobile Manufacturers, whose members include the Detroit 3, filed a petition asking the EPA to withdraw its Nov. 30 proposal to keep the greenhouse gas rule unchanged from when it was made final in 2012.

The tailpipe rule is a key component in the Obama administration’s 2011 deal with automakers to align rules governing fuel economy between the EPA, Transportation Department and California. The rule aims to boost vehicle efficiency to a more than 50 mpg fleet average by 2025.

To read more from Automotive News, please click HERE.

In Trade News

Why Japan’s Shinzo Abe Should Rejoice Over Trump’s Election Win (Fortune)

McCarthy Doesn’t Want A Trade War, Says Tax Reform Is Critical (Daily Caller)

Trump Team: NAFTA Won't Be Ripped Up, But Right-Sized (Newsmax)

In Auto News

The 10 Cheapest New Cars of 2017 (Car and Driver)

Used Vehicle Sales Set to Hit All-Time High in 2016 (CNBC)

Autos Will Be Key for Trump’s Success (Automotive News)

Friday Funny

The 5 Absolute Funniest Presidential Campaign Moments of 2016 (Bustle)

 

Note: You Auto Know will be out of session just like Congress; however, we will return in the New Year.

The Week in Review - The Week of November 23, 2016

Things in Washington, D.C. have sprung into high gear with most of the town focusing on the incoming Trump Administration. Conversations include who will be serving in the president’s cabinet, who will fill out the rest of his senior staff, and of course, who will be Secretary of State. Republicans all around the city are updating their resumes. Transition landing teams are in place inside the federal agencies and conversations have begun between President Obama’s staff and President-Elect Trump’s staff on the transition of power.

Even up on Capitol Hill, where they are trying to wrap up the business of the 114th Congress, meetings have started on how the Republican-controlled House and Senate can work with the new administration. There appears to be a long list of items on the “to do” list and plans to pack the first 100 days with legislation that can land early in the year on the President’s desk for his signature. Throughout it all AIADA will be speaking up on your behalf, the international nameplate dealer.

Now, here is what You Auto Know.

Can Congressional Republicans and Trump Stay Friends?

House Republicans about to unanimously nominate Speaker Paul D. Ryan for another term as their standard-bearer recently got a not-so-subtle signal of who’d really united their party:

Red “Make America Great Again” hats were waiting on every seat.

The prominence of President-elect Donald Trump’s much-maligned campaign slogan was a clear departure from the image the party had projected before Nov. 8, when Ryan was staring down an insurgence for his refusal to campaign for Trump, and Senate Majority Leader Mitch McConnell and dozens among the rank-and-file were so exasperated by their nominee that they refused to even utter his name.

But it’s still unclear whether Trump can forge the relationship he will need with Congress to push through an ambitious, and vague, policy agenda — or whether he even wants to. He will also need to keep a lid on the divisions within the party.

Trump’s interactions with Congress have, until now, been so limited that it is impossible to know how he will relate to the institution after he is sworn in.

He is a wild card, a blank slate.

In his favor are signs that Republicans are eager to present a unified front as they prepare to control all three branches of government for the first time in a decade. One notable gesture: The person who made sure those hats were placed on every seat was Cathy McMorris Rodgers.

To read more form Roll Call, please click HERE.

Donald Trump Is Choosing His Cabinet. Here’s the Latest List.

President-elect Donald J. Trump is meeting this week with more candidates for administration jobs and is debating who should be his secretary of state. On Thursday, Mr. Trump announced his pick for defense secretary.

These are Mr. Trump’s selections so far. Times reporters have also compiled possibilities for other posts, using information from the Trump transition team, lawmakers, lobbyists and Washington experts.

Bottom of Form

Defense Secretary – Requires Senate confirmation

The incoming secretary will shape the fight against the Islamic State while overseeing a military that is struggling to put in place two Obama-era initiatives: integrating women into combat roles and allowing transgender people to serve openly. Both could be rolled back.

James N. Mattis Mr. Trump announced at a rally on Thursday that he had selected General Mattis, who led a Marine division to Baghdad during the 2003 invasion of Iraq and led the United States Central Command from 2010 to 2013. General Mattis, now retired, has been a critic of the Obama administration.

Treasury Secretary – Requires Senate confirmation

The secretary will be responsible for government borrowing in financial markets, assisting in any rewrite of the tax code and overseeing the Internal Revenue Service. The Treasury Department also carries out or lifts financial sanctions against foreign enemies — which are key to President Obama’s Iran deal and rapprochement with Cuba.

Steven Mnuchin Mr. Trump has selected Mr. Mnuchin, who served as his campaign finance chairman. The former Goldman Sachs executive has deep roots in Hollywood and no government experience.

Transportation Secretary – Requires Senate confirmation

The next Transportation secretary will oversee Mr. Trump’s campaign pledge to increase infrastructure funding to rebuild America's roads, bridges, airports, and transit systems.

Elaine L. Chao Mr. Trump has selected Ms. Chao, the former Labor secretary under President George W. Bush. Ms. Chao, who is married to Senate Majority Leader Mitch McConnell, has been a fixture of the Republican establishment in Washington.

To see more on Trump’s Cabinet picks form The New York Times, please click HERE.

Pence Details Trump’s Ambitious Agenda for First 100 Days

Vice President-elect Mike Pence says the incoming Trump administration will obliterate gridlock by immediately tackling aggressive healthcare, immigration and tax reforms.

“I think the only thing that will surprise [voters] is that Washington, D.C. is going to get an awful lot done in a short period of time,” Pence told The Wall Street Journal Thursday after introducing President-elect Donald Trump at a rally in Cincinnati.

Pence said Trump is eager to curb illegal immigration, repeal and replace ObamaCare, fill a vacancy on the Supreme Court and strengthen the military during his first 100 days as president.

The Indiana governor revealed that working with Congress to “move fundamental tax reform," meanwhile, would dominate the tail-end of Trump’s initial 200 days as president.

To read more from The Hill, please click HERE.

In Trade News

Understanding the Trump Trade Agenda (The Wall Street Journal)

Republicans Aim to Coax Trump Toward House Trade Tax Plan (Reuters)

Trump Picks for Treasury and Commerce Want to Boost Economy through Tax and Trade Reform (CNBC)

In Auto News

November’s Auto Sales Rebound, Keep 2016 on Record Track (AIADA’s Market Watch)

Automakers With the Highest Consumer Satisfaction Rankings (Autoblog)

Toyota and Volkswagen in Fierce Battle for World’s Largest Automaker Title (Forbes)

Friday Funny

One of the most light-hearted days for an incoming freshman Member of Congress is the Capitol Hill Room Draw. This week the incoming 115th Congress had their day to draw. Good luck charms, good luck staff, and even the Usain Bolt lightning pose were used to try and draw the coveted number one slot.

Read more about the room draw and watch the video from Roll Call by clicking HERE.

The Week in Review: Week of November 14, 2016

It’s been a busy week in Washington, D.C. (well, and New York City, too).  The 45th Presidential Transition Team, operating out of D.C. and New York, is now in place and the job of filling Cabinet positions and White House senior staff has kicked into high gear. It’s just the beginning and there is much speculation about who will get what job in the Trump Administration, but announcements are already coming out – a sure sign that the peaceful transition from the 44th President to the 45th President is under way – democracy in action.

Congress also came back into session this week for the 114th Congress Lame Duck Session. The focus will be on funding the federal government for Fiscal Year 2017. House and Senate leaders, along with Administration officials, have been negotiating to put together another Continuing Resolution (CR) – the current CR expires December 9th.  The current strategy is to put together a bill that funds the government to some point in March. This would allow President-Elect Trump to get his team in place and make his requests for the budget known to Congress. Additionally, organizing for the 115th Congress began and leadership elections were held for Senate Republicans, Senate Democrats, and House Republicans. House Democrats postponed their elections till the week of November 30th.

Want even more information? On Tuesday, AIADA hosted a special Post-Election AutoTalk webinar, sponsored by AIADA Affinity Partner CNA National, to brief dealers on what the 2016 election results will mean for their businesses in the coming weeks and months. During the webinar, AIADA’s Vice President of Government Relations, Rachel Robinson, summarized the results of the election, explaining how a lame duck session of Congress will likely play out before the end of the year and what issues the 115th Congress will likely focus on when it gavels in this January, how issues like trade and the regulatory environment will be impacted by new leadership in Washington, and what to expect from the presidential transition in the coming weeks. If you missed it, listen to a recording of this special AutoTalk webinar by clicking HERE.

The Week in Review will be on break next Friday giving thanks. Now, here’s What You Auto Know.

House Passes Bill Targeting ‘Midnight’ Obama Regs

The House on Thursday passed legislation that would allow Congress to overturn in a single vote any regulations finalized in the last days of the Obama administration.

Despite Democratic opposition, the Midnight Rule Relief Act passed largely along party lines, by a 240-179 vote. The bill would amend the Congressional Review Act to allow Congress to overturn many rules all at once by way of a resolution.

Rep. Bob Goodlatte (R-Va.) urged his colleagues on the floor Thursday morning to pass the legislation and tell the American people that lawmakers heard them on Election Day loud and clear.

“The American people have said no to the continuance of the Obama administration’s policies,” he said.

“This bill guarantees that Congress can prevent any and all last-minute defiance of the people’s will by midnight regulations that stubbornly seem to entrench the last pieces of the administration's bipartisan agenda.”

House Republicans are doing everything in their power to keep the Obama administration from enacting any new rules in its final days.

To read more from The Hill, please click HERE.

Donald Trump Is Choosing His Cabinet. Here’s the Latest Shortlist.

Current and former officeholders have been filtering in and out of Trump Tower this week as Donald J. Trump’s transition team works to assemble leaders of the new administration. Here are some possibilities for the cabinet and other key posts, compiled by reporters for The New York Times, using information from the Trump transition team, lawmakers, lobbyists and Washington experts.

C.I.A. Director

Mr. Trump takes over at a time of diverse and complex threats to American security. The new C.I.A. director will have to decide whether to undo a C.I.A. “modernization” plan put in place this year by Director John O. Brennan, and how to proceed if the president-elect orders a resumption of harsh interrogation tactics — which critics have described as torture — for terrorism suspects.

Mike Pompeo, Representative of Kansas and a former Army officer, has been selected. Mr. Pompeo is a member of the House Intelligence Committee and was a sharp critic of Hillary Clinton during the congressional investigation into the 2012 attack on the American diplomatic compound in Benghazi, Libya.

Attorney General

The nation's top law enforcement official will have the authority for carrying out Mr. Trump's “law and order” platform, including his threat to “jail” Hillary Clinton. The nominee can change how civil rights laws are enforced.

Jeff Sessions, Senator of Alabama, has been selected by Mr. Trump. Mr. Sessions is a strong proponent of strict immigration enforcement, reduced spending and tough-on-crime measures. His nomination for a federal judgeship in 1986 was rejected because of racially charged comments and actions, which are very likely to become an issue as he faces another set of Senate confirmation hearings.

National Security Adviser

The national security adviser, although not a member of the cabinet, is a critical gatekeeper for policy proposals from the State Department, the Pentagon and other agencies, a function that takes on more importance given Mr. Trump's lack of experience in elective office.

Michael T. Flynn, a retired Army lieutenant general and former director of the Defense Intelligence Agency has been selected. General Flynn has been outspoken about his view of the threat posed by Islamist militancy and was an ardent supporter of Mr. Trump during the campaign.

To read more from the New York Times, please click HERE.

The Kaminsky Column: Now What? 

Enough time has passed since Election Day that dealers have, for the most part, caught their breaths. Some of us were thrilled by the results, some of us weren’t, but I feel confident in saying that most of us were caught by surprise. And we weren’t alone. Nearly every poll, pundit, and prognosticator had picked democrat Hillary Clinton as the 45th president of the United States. Washington outsider Donald Trump’s victory left his supporters cheering, and his detractors scratching their heads.

In politics, true surprises happen rarely. And when they do, the aftermath is felt for a long time. As the media and pollsters are looking back, scrambling to explain how they were so wrong with their predictions, dealers are looking ahead – to what a Trump presidency will mean for our businesses.

For many, a Trump administration offers new hope that small businesses like ours might see some relief from overreaching regulatory agencies like the CFPB, NLRB, and EPA. So far, Trump’s comments seem to support our optimism, but a great deal will depend on the team he builds around him and the cooperation he is able to engender from the Republican-led, 115th  Congress.

To read more from AIADA Chairman Kaminsky, please click HERE.

In Trade News

Trump Transition Memo: Trade Reform Begins Day 1 (CNN)

Trump Digs in for Major U.S. Trade Reset with the World (CNBC)

What Is Lost by Burying the Trans-Pacific Partnership? (The New York Times)

In Auto News

Subaru SUV Concept Foreshadows Upcoming Family Hauler  (Detroit Free Press)

U.S. Dealerships Face Evolution, Not Revolution, Expert Says (Automotive News)

U.S. News Announces the 2017 Best Vehicle Brands (U.S. News &World Report)

Friday Funny

We hope these make you laugh! Click HERE to see some of the best Vice President Joe Biden memes.

The Week in Review: The Week of October 31, 2016

With the presidential campaign in the final stretch, both candidates continue to hold rallies in battleground states around the country. It all comes down to this Tuesday, Election Day, so please remember to get out and vote. Afterwards snap a selfie with your “I voted” sticker and tweet it out under the hashtag #DealersVote. Let’s make sure our industry’s voice is heard!

Need to find your polling location? Click HERE.

After the election, please make plans to join AIADA on Tuesday, November 15th for a special AutoTalk webinar focusing on a review of the election results and what they mean for automobile dealers and the industry. For more information and to register for the webinar, please click HERE. “The Week in Review” will be missing from your inbox on Friday, November 11th but we will return the following week with a report on the first week of the Congressional Lame Duck session and the Organizing Conferences of the 115th Congress.

Now... This... is What You Auto Know...

International nameplate auto dealerships nationally employ Americans with a payroll of how much?

A) $400 Million

B) $14 Billion

C) $23 Billion

D) $32 Billion

E) None of the Above

Leave your answer in the comments section below and click HERE to see What You Auto Know.

Portrait of a Trump West Wing

Electing a president really means electing a whole brain trust, and one of the great mysteries of a possible Trump administration is just who he might get to serve in it. With much of the Washington establishment and Republican policy veterans keeping their distance, he'd have to rely on outsiders, newcomers and a small set of longtime loyalists. So who would it be? Here, for the sake of argument, we took a stab at one possible lineup. Trump has always run his business as a family shop—and his political campaign has been no different, with his adult children and Trump Organization employees playing key roles that usually get filled by professional operatives. In a Trump White House, loyalty to the businessman and willingness to buck the norm would likely continue to count more than traditional credentials or experience. Below are sketches of a dozen of Trump’s closest aides and advisers, and the roles they would be poised to play if things go Trump's way on Tuesday.

To read more from Politico, please click HERE.

Portrait of a Clinton West Wing

With Hillary Clinton leading the polls, the behind-the-scenes jockeying has already begun over just who would earn a spot in her circle of closest aides. With 24 years in national politics under her belt, Clinton has a deep bench to draw on if she wants to; this year, the key to Hillary Clinton’s campaign team was how she balanced those longtime loyalists with some new blood. So what would her kitchen cabinet look like if she wins on Tuesday? Whoever gets the nod will be shaping the administration of a historic presidency—but also heading into almost unimaginable friction in Washington even before Clinton takes the oath of office in January. It's fair to expect Clinton will stick to her campaign formula as she shapes her West Wing: a mix of inner circle aides that have served Clinton for decades, as well as skilled operatives who more recently proved themselves during perhaps the most grueling campaign in American history. Here, for the sake of argument, we've assembled a speculative lineup of 12 of Clinton’s most trusted aides and advisers, and the roles they might—might! —play in her administration.

To read more from Politico, please click HERE.

Senate Forecast Remains Cloudy With One Week to Go Until Election Day

With a week to go until Election Day, the outlook for the Senate remains uncomfortably cloudy.

About half of the 11 races that have been watched at some point over the last year are still too-close-to-call. But Republicans remain on the defensive, and Democrats have many routes to gaining the four seats they need to take control of the Senate.

The presidential contest remains an important cloud hanging over the fight for the Senate.

The re-emergence of Hillary Clinton’s email issue puts the former secretary of state on the defensive and gives ammunition to GOP House and Senate candidates. Clinton still has a clear advantage in the presidential contest, but FBI Director James Comey’s recent letters (one to Congress and the other to FBI employees) add some near-term uncertainty to the overall political environment.

To read more from The Washington Post, please click HERE.

House Picture Murky as GOP Aims to Limit Losses

Democrats are poised to gain seats in the House of Representatives this year, but with well over a dozen competitive races still viewed as tossups just one week before Election Day, the extent of that gain -- and whether Republicans can stem the bleeding and keep a strong grip on their majority -- remains uncertain.

Democrats for months have hoped to nationalize races, tying Republicans down the ballot to Donald Trump and hoping a big loss by Trump could flip a significant number of seats. They saw gains early in October when Republican polling in swing districts fell after the release of the “Access Hollywood” recording in which Trump boasted about making unwanted sexual advances on women -- something that prompted more than a dozen Republicans to withdraw their support for the party’s nominee.

But GOP insiders say their polling in swing districts has stabilized, and they feel energized by the news Friday that the FBI is looking into emails that could be related to its previously close investigation of Hillary Clinton’s private server. Democrats have expressed outrage at FBI Director James Comey for releasing the limited and vague information about the probe, and even some Republicans have suggested it was improper to do so. But Republicans say it’s given them an opportunity to play offense during the final week in the campaign.

 For more from Real Clear Politics, please click HERE.

In Trade News

Not Dead Yet—TPP Free Trade Deal Could Pass in Lame Duck Congress, US Trade Rep Says (CNBC)

Obama Makes a Long-Shot Bid for TPP Trade Deal (The Wall Street Journal)

Free Trade’s Bleak Outlook (Bloomberg)

In Auto News

Toyota Camry to Get Sleeker, Sportier for 2018 (Automotive News)

Auto Sales Dip in October (AIADA News)

Moving Target: Dealer Welcomes Newcomers to Town (Automotive News)

Friday Funny: a round-up of some of the best political ads

"Angie"

"Sweet Old Lady"

Diapers