OPEI2018-1-23 · Market Statistics OPEI published 2017 calendar year-end market sta-tistics data in late January. Based on this annual data, OPEI will issue its next quarterly

President’s MessageDue to the Outdoor Power Equipment Institute’s con-tinued growth and high rates of member engagement, the Board of Directors purchased a new headquarters building to accommodate staff, members, and a new state-of-the-art conference center. The new building opens in February. And remember: If you’re planning on attending or exhibiting at GIE+EXPO this October in Louisville, book your hotel soon. The show hours and floor plan will be changed for this year’s show to accommodate continued growth in the number of exhibitors and attendees. Areas of the show floor will likely sell out, so make sure to book any space changes as soon as possible. – Kris Kiser

GIE+EXPO Continues to Grow Continuing years of growth, the 2017 GIE+EXPO, held in October at the Kentucky Expo Center in Louisville, was another record-breaking event. The show topped the last three years’ records in both attendance and exhibitors. More than 24,000 people from around the world attended, a 7 percent increase over 2016. Exhibit space grew 9 percent. In fact, GIE+EXPO was recent-ly named the 10th largest show in North America by Trade Show Executive magazine.

The annual industry event draws all segments of the outdoor power equipment and lawn and garden indus-try. GIE+EXPO is sponsored by the Outdoor Power Equipment Institute, Professional Grounds Manage-ment Society and National Association of Landscape Professionals.

Over the last four years GIE+EXPO has averaged a 12 percent increase in total attendance. In 2017, land-scape professional registrants were up 12 percent over 2016 – making an average increase of 15 percent over

OPEI Board Chairman and Ariens Company President and CEO Dan Ariens and OPEI President Kris Kiser do final inspections at OPEI’s new headquarters in Old Town Alexandria.

Quarterly Report ● January 2018

The OutDoor Pow-er D

OPEI Equipment Engines UTVs

OUTDOOR POWER EQUIPMENT INSTITUTE

QUARTERLY REPORT

JANUARY2018

www.opei.org ● 341 S. Patrick St. Alexandria, VA 22314 ● 703-549-7600

More than 24,000 attendees came to Louisville, KY, for the 2017 GIE+EXPO, and the show was named the 10th largest trade show in the U.S. The 2018 show takes place Oct. 17-19.

last four years. Lawn and garden center registrations were up 27 percent, and distributor registrations were up 12 percent over 2016.

There were over 1,005 exhibits indoors and out in GIE+EXPO and the co-located Hardscape North America, including 226 new exhibitors. The indoor show floor was 50,000 square feet larger than 2016. The Outdoor Demonstration Area covered 20 acres, and attendees had two full days to test equipment. HNA increased in size by more than 16 percent over 2016.

As a result of the show’s continued growth, a new format will be implemented in 2018, allowing con-tractors an extra day on the show floor. Show dates are October 17-19. The indoor show floor will open exclu-sively for dealers, retailers and the media at noon on Wednesday. Then, beginning at 3 p.m. and continuing Thursday and Friday, the entire industry will be invited to visit the exhibits. The Outdoor Demonstration Area will be open Thursday and Friday.

TurfMutt Helps Build Outdoor Classroom Thanks to a $10,000 grant from TurfMutt, an environ-mental stewardship and education program managed by the Outdoor Power Equipment Institute’s Education Foundation, and Massey Services, a new outdoor class-room debuted at Guardian Angels Catholic School in Clearwater, FL, and is ready to help kids learn valuable science, math and other lessons about the environment and living landscapes.

The new outdoor space is the result of one fifth-grader’s creativity and hard work. Student Marissa Weber won the TurfMutt “Be a Backyard Superhero” contest with a story depicting TurfMutt and the Out-door Powers along with her original character “Earthy the Worm” fighting Dust Demon, a TurfMutt-branded evil character, to encourage healthy soil.

The contest is sponsored annually by TurfMutt, who inspires and educates students in grades K-5 and their

families, encouraging them to appreciate and care for the green spaces around them including their family yards, school yards, parks, and more.

As a result of Weber’s win, her teacher, Sandra Hoolihan, was presented with the first-ever National TurfMutt Teacher Award and a trip to the National Science Teachers Association annual convention in spring 2017.

And the TurfMutt platform continues to grow: TurfMutt’s media relations program was named a finalist in the PRNews’ Corporate Social Responsibility Awards and won a coveted Cynopsis Award. Turf-Mutt’s youth curriculum is now part of USGBC’s global Learning Lab, and TurfMutt is featured in the forthcoming Na-tional Geographic book “Love Unleashed: Tales of Inspiration and the Life-Changing Power of Dogs.”

OPEI president and CEO Kris Kiser presents a check for $10,000 on behalf of TurfMutt at the Guardian Angels Catholic School in Clearwater, FL. Pictured with Kiser are, from left, Adam Jones, Massey Services, Sandra Hoolihan, science teacher at Guard-ian Angels, student Marissa Weber, and Mary Stalzer, Guardian Angels principal.

Market Statistics OPEI published 2017 calendar year-end market sta-tistics data in late January. Based on this annual data, OPEI will issue its next quarterly forecast update for 2018 and 2019 in early March. Market statistics are an exclusive service provided to OPEI member compa-nies, and an important indicator of industry perfor-mance. In 2017, OPEI members approved new market statistics data collection to begin in MY 2019, includ-ing corded/cordless pole saws, pole hedge trimmers, edgers, and tillers. OPEI has also begun early consider-ation of the future reporting of robotic lawn mowers.

Robotic Lawn Mower CommitteeThe International Electrotechnical Commission’s ro-botic battery powered electrical lawnmowers standard was published in December. This clears the way for the completion, canvass, and submission of the U.S. adoption.

State LegislationIn January, OPEI voiced its opposition to new “Right to Repair” legislation in Washington and Minnesota. Such laws require that equipment OEMs more gen-erally provide access to proprietary resources for the self-repair of products, without proper compensation or protection of intellectual property. These proposed laws could also have adverse impacts on the perfor-mance and safety of products as a result of improper repair. Similar legislation has been proposed in Hawaii, New Hampshire, New York, and Vermont, with vari-ous other states expected to follow suit. Similarly, 2018 is also expected to be a busy year in the area of dealer franchise laws, with several states expected to adversely change the requirements for the contractual terms between OPEI members and their respective in-state dealers.

LaborThe landscaping and tree service sectors, among oth-ers, are urging Congress to provide for additional H-2B visas in funding legislation for the remainder of fiscal year 2018. This program is an important source of seasonal employees, which are forecasted to be in short supply in 2018. OPEI supports these efforts through participation in the H-2B Workforce Coalition.

TradeIn December, OPEI filed comments with the U.S. International Trade Administration, responsive to its solicitation of stakeholder input, on the importance of standards and regulations in the pursuit of improved U.S. trade relationships. OPEI has been a strong advo-cate of the importance of improved global cooperation on such matters as key to increasing U.S. exports. Talks over the modernization of the North Amer-ican Free Trade Agreement (NAFTA) entered their sixth round the week of Jan. 22 in Montreal, with the prospects for continuation of the pact uncertain. In comments to U.S. negotiators last year, OPEI requested that these critical trade relationships be strengthened, and that particular attention be payed to the reduction of technical barriers to trade.

StandardsOn Jan. 19, OPEI opened a second round of canvass balloting on its proposed new ANSI standard for gas-powered log splitters, with responses due by March 6. The proposal has also been announced by ANSI to solicit public interest in commenting on the standard. OPEI’s ground-supported product manufacturer members met Oct. 30-Nov. 1 to discuss their standards and regulatory priorities for 2018. Included in the dis-cussions were the future of the 2017 ANSI standards for mowers and prospects for further alignment with inter-national standards, as well as the beginning work for the revision of the 2014 ANSI standard for snow throwers

B175.6 Hedge Trimmer Standard: The canvass and public comment period have for the new standard have closed. The committee is now reviewing comments and preparing for a recirculation ballot. The standard is expected to be published mid-2018.

The B175.5 Edger Committee and B175.7 Powered Pruner Committee continue work on the draft stan-dards. The committees expect drafts to be ready for canvass and public review early 2018.

The B175.4 Cut-off Machines Committee will meet in February to begin work on the next revision.

Consumer Product Safety Commission On Jan. 18, the Senate Commerce Committee voted to approve the CPSC Commissioner nominations of Ann Marie Buerkle and Dana Baiocco. This was the second time the committee was required to vote, since the nominations were returned to the White House at the end of 2017 under an arcane Senate rule. There has been no announcement of when the full Senate will vote on these nominations. The White House also has yet to nominate a replacement for Commissioner Joe Mohorovic, who resigned last fall. Final action on these three nominations is necessary to restore the commission to five members, and would result in a 3-2 Republican majority.

Fuels2017 concluded as a controversial year with respect to the Federal Renewable Fuel Standard, with the Trump Administration finalizing a level of 15 billion gallons of conventional biofuel (19.29 billion gallons overall) for blending with U.S. gasoline during 2018, an increase from that originally proposed by EPA. In response, OPEI filed comments last year urging for improved federal protections to mitigate the misfueling of small engines.

2018 California EVAP Rule AmendmentsSmall off-road engine evaporative emission amend-ments were finalized in November. The amendments include a long list of certification and compliance changes, centered largely around the new requirement that all >225-cc engine powered applications must be certified to diurnal emission limits. The amendments also require that manufacturers start reporting Cali-fornia production volumes starting for MY 2018. The amendments were effective Jan. 1, 2018.

2020 SORE Emissions Reduction RuleThe California ARB continues work on a 2020 rule aimed at reducing small off-road engine emissions up to 80 percent by 2031. In November, ARB kicked off a technology feasibility study to examine ways to further reduce small off-road engine emissions and a series of public surveys developed to update California’s small engine population and use data. OPEI’s Engine and Fuels committee will continue to work with ARB staff throughout the development of the new rule.

InfrastructureWith infrastructure investment high on the priority list of both the White House and Congress, OPEI in Janu-ary joined a large business coalition in signing a letter which urges prompt Congressional action on Federal legislation. Federal leadership in this area is deemed as essential by the business community, to assure that the U.S. maintains its competitive advantage as the market of choice for investment in manufacturing and jobs.

Battery and Electric Products CommiteeThe Battery Electric Product Committee also met to report on the International Electrotechnical Commis-sion meetings of Technical Committee 116 Working Groups in Shanghai from Oct. 23 through Nov. 3. Some of the standards addressed in Shanghai were:

• IEC 62841-1 General requirements for Edition 2• IEC 62841-4-XX Pruning Saw – draft• EC 62841-3-XX Chain Saws for Tree Service

(top-handle) – draft• IEC 62841-4-XX Grass Shears – draft• EC 62841-4-XX Lawn Trimmer and Brush Cut-

ter – second draft comment The next Battery and Electric Products Committee meeting is scheduled to review U.S. comments relating to the Trimmer/Brush Cutter Committee draft. The Battery Electric Product Committee has ini-tiated a Counterfeit Battery Work Group. This group first met in May 2017 to consider the issue and explore what solutions are already under consideration. The group is interested in a variety of approaches and aims to minimize redundant efforts.

Worldwide Emissions and RegulationsCanada – Environment and Climate Change Cana-da (ECCC) published the final off-road small engine amendments in October. The amendments largely harmonize with EPA and will continue to include the “sold-concurrently” provision allowing EPA-certified engines and equipment to be sold in Canada without additional certification procedures. The amendments will be effective for MY 2019. Australia – The Department of Environment final-ized off-road engine emission regulations in January. The rule establishes emission limits based on U.S. EPA regulations. The rule includes a provision that accepts U.S. EPA, California ARB, ECCC, or E.U. certified en-gines, without any additional certification or labelling. The also includes a cost-recovery tariff (0.54 percent of product import value) to cover certification, compli-ance, and administrative costs. The rule is effective July 1, 2018, for products entering Australia, and July 1, 2019, for products sold. China – Stage 3 rule development continues. Limits are expected to align with U.S. EPA Phase 3 and E.U.

Stage V. The rule is expected to be effective for MY 2019. China also continues work on small engine fuel efficiency and noise standards. OPEI provided com-ment on the fuel consumption standard in October.

Upcoming OPEI MeetingsJan. 22-Feb. 2 – IEC TC116 WG7 and WG10 meetings – Miami, FLFeb. 6-7 – B175.4 Cut-Off Machines Committee meet-ing – Alexandria, VAFeb. 19-21 – International Consumer Product Health & Safety Organization Annual Meeting – Orlando, FLFeb. 22 – Market Statistics Committee Forecast Meet-ing – Alexandria, VAMarch 14 – Legal and Regulatory Compliance Com-mittee meeting – Alexandria, VAMarch 20-21 – Market Statistics Committee meeting – Alexandria, VAMarch 21-23 – ISO TC23/SC17 (Forestry Machines) Plenary Meeting – Stockholm, SwedenApril 9-20 – IEC WG7 and WG10 – Lisbon, PortugalMay 7 – Engine and Fuels Committee – Alexandria, VAMay 8 – Handheld Products Committee meeting – Alexandria, VAMay 8 – B175 Standards Committee meeting- Alexan-dria, VAMay 9-10 – B175 Standards Committee Meeting – Al-exandria, VAJune 12-14 – International Internal Combustion En-gine Manufacturers Associations meeting – Brussels, Belgium June 18-20 – OPEI Annual Meeting – Bonita Springs, FLJune 20 – OPEI Board Meeting – Bonita Springs, FLJuly 9-20 – IEC TC 116 WG 10 and WG7 – Denver, COOct. 10 – Legal and Regulatory Compliance meeting – Alexandria, VAOct. 17-19 – GIE+EXPO – Louisville, KY