Creates a federal crime for trafficking catalytic converters removed from vehicles, sets penalties, and permits an affirmative defense for those who comply with state/local ID and recordkeeping and are lawful actors.
The bill strengthens tools to deter and prosecute catalytic-converter theft—potentially reducing thefts and aiding law enforcement—while imposing compliance burdens and creating risks of federal prosecution for businesses and individuals who fail to meet ID/recordkeeping rules, shifting enforcement costs to the federal system.
Vehicle owners (people whose vehicles are targeted) may experience fewer catalytic-converter thefts because trafficking stolen converters becomes a federal crime with prison and fine penalties.
Law enforcement agencies and insurers gain clearer legal tools to identify, investigate, and disrupt converter-theft networks because the statute defines lawful sources and permits federal prosecution.
Metal recycling businesses that follow ID and recordkeeping rules get legal clarity and reduced risk of civil or state-level challenges when they can demonstrate purchases came from lawful sources.
Small businesses and individuals who buy, sell, or possess converters risk federal prosecution if they fail to meet sometimes-complex state or local ID and recordkeeping requirements.
Businesses that recycle or trade in catalytic converters will face added compliance costs to verify seller eligibility and maintain required records.
Federal enforcement of the new trafficking offense will increase DOJ caseloads and could raise costs for taxpayers through prosecutions, incarceration, and related federal enforcement activities.
Based on analysis of 2 sections of legislative text.
Official title: To amend title 18, United States Code, to prohibit the trafficking in catalytic converters.
Introduced July 23, 2026 by Brandon Gill · Last progress July 23, 2026
Creates a new federal crime for trafficking in catalytic converters that have been removed from motor vehicles affecting interstate commerce. The bill makes it unlawful to knowingly possess or purchase one or more removed catalytic converters with intent to distribute, sell, or dispose of them (or precious metals removed from them), and it sets criminal penalties for first and repeat offenses. Provides an affirmative defense for persons who follow applicable State and local identification and recordkeeping rules and who fall into specified categories (vehicle owners/lessees, OEMs/distributors/dealers acting in official capacities, repair-facility employees with limits, and metal recycling entities) and supplies definitions and cross-references for terms and penalties.