Summary

Requires catalytic converters to be marked with identifying numbers and treated as covered motor vehicle parts, creates a DOT grant program to mark converters at no cost to owners, limits how converters can be bought and sold, and creates new federal crimes and penalties for stealing, trafficking, or knowingly buying stolen catalytic converters. Sets deadlines for NHTSA and the Department of Transportation to issue rules and run the marking program, and provides up to $7 million in funding to support marking efforts.

• Mandates that catalytic converters be marked with identifying numbers (VIN or unique part ID) and treated as covered anti-theft parts.
• Directs NHTSA to revise regulations within 180 days and allows markings to be recorded in a law-enforcement-accessible database.
• Creates a DOT grant program (up to $7 million) to pay for stamping and theft-deterrent paint applications; recipients may not charge owners for grant-funded work.
• Requires sellers of parts with precious metals to retain transaction and identification records for at least two years and bans sale/purchase of converters with tampered markings.
• Prohibits cash and digital-asset payments for catalytic-converter transactions, requiring traceable payment methods.
• Establishes new federal criminal offenses and penalties (fines and/or up to 5 years imprisonment) for theft, trafficking, and knowingly buying stolen catalytic converters.
• Expands federal "chop shop" definitions to cover premises that process stolen converters or remove precious metals for interstate sale.
• Attorney General and NHTSA must issue implementing regulations; DOT must report annually for 10 years on marking program outcomes.
• Marking requirements extend to unsold vehicles covered by vehicle description regulations regardless of model year once NHTSA issues changes.
• Grants prioritized for areas with highest catalytic-converter theft rates and for entities with vehicles subject to the marking mandate.