Auto Repair Shops NAICS 811111

Feb 18, 2026 - Auto Parts Giant Splitting Into Two Companies

• Genuine Parts Company, the Atlanta‑based parent of the NAPA auto parts network, said it will split into two independent, publicly traded companies to give its automotive and industrial parts businesses more focus and tailored strategies. For repair shops and auto parts distributors, the split signals potential for more responsive service tailored specifically to automotive aftermarket needs. One entity, Global Automotive, will house the NAPA aftermarket parts operations that support more than 20,000 NAPA Auto Care repair centers and over 10,000 global locations, aimed at sharpening customer alignment and investment in supply‑chain and technology initiatives. The other, Global Industrial, will center on industrial distribution under the Motion brand. The separation is expected to be completed in Q1 2027 with dedicated management teams and capital structures for each business and allowing more strategic investments aligned with their distinct markets.
• Auto Care Association CEO Bill Hanvey warned a US House subcommittee that the automotive aftermarket faces an existential threat without federal action to guarantee independent repairers access to vehicle data. Automakers’ growing control over software and diagnostics is steering vehicle owners toward franchised dealerships, where repairs cost about 36% more than at independent shops and often take longer. Independent shops handle more than 70% of out-of-warranty repairs, yet 84% of those businesses say data access is their top challenge. As a result, 63% report difficulty completing routine repairs, and 51% are forced to send up to five vehicles per month to dealerships, costing the industry an estimated $3.1 billion annually. Hanvey urged Congress to advance the bipartisan REPAIR Act, arguing it would preserve competition, protect consumer choice, and support local jobs while maintaining cybersecurity and intellectual property safeguards.

• Major US and global automakers - including General Motors, Ford, Toyota, Volkswagen, Hyundai, and Stellantis - warned lawmakers that expanding Chinese auto and battery producers pose a “clear and present threat” to the US auto industry, urging restrictions on Chinese plants and maintaining bans on certain technology imports. Tariffs on Chinese vehicles and components have added supply-chain pressures, raising costs for manufacturers and suppliers, which can affect repair shops that rely on parts. From an auto repair perspective, increased competition and political tensions may influence parts availability and pricing: Chinese EVs and vehicles could enter US markets at lower costs, creating demand for new repair knowledge and specialized parts. Shops may face challenges sourcing components if automakers push suppliers to relocate production and reshuffle supply chains. Overall, policy, tariffs, and competitive pressures are likely to affect repair operations, parts inventory, and service strategies.
• The auto repair industry in 2025 experienced structural changes to the auto claims and collision repair landscape rather than short-term shifts, according to CCC Intelligent Solutions. High new-vehicle prices and interest rates have kept consumers in older cars longer, pushing the average US passenger car age to record levels. SUVs, crossovers, hybrids, and EVs are increasingly common, adding complexity to repairs with embedded electronics and advanced driver-assistance systems. As a result, diagnostics and calibrations have grown from niche tasks to central elements of repair work, with calibration requirements varying widely by make, model and damage type. Calibration frequency rose sharply from under 1% of appraisals in 2017 to 23% in 2025, and nearly 70% now include scans. Tariffs and unstable global logistics also drove parts price volatility, raising claim severity even as frequency stayed steady. These trends have extended repair cycle times, increased costs, and challenged both shops and insurers.