What Is the Difference Between OEM and Aftermarket Parts?
Last updated
In this article
Talk to our experts- OEM vs. aftermarket parts
- OEM vs. aftermarket parts is the difference between original equipment and parts from other makers. In the Auto Care Association's glossary, OE parts are supplied to manufacturers for motor vehicle production. The Federal Trade Commission defines an aftermarket part as one made by a company that didn't make the vehicle, and says using one doesn't by itself void a warranty.
Also called: OE vs. aftermarket parts, original equipment vs. aftermarket parts
How it works
The two terms describe where a part comes from, and their definitions come from different sources. The Auto Care Association's glossary defines OE (original equipment) as parts and components supplied to manufacturers for motor vehicle production, and OEMs (original equipment manufacturers) as the companies that supply parts and components for the production of motor vehicles. That is the definition this page uses. The Federal Trade Commission defines an aftermarket part as a part made by a company that didn't make your vehicle.
For the after-sale side, the Auto Care Association's glossary describes the auto care market as the maintenance, repair, parts, accessories, chemicals and fluids for vehicles after their original sale.
Types of parts sellers list
- OE. In the Auto Care Association's glossary, parts and components supplied to manufacturers for motor vehicle production. OEMs are the companies that supply them.
- Aftermarket. In the FTC's words, a part made by a company that didn't make your vehicle.
- Recycled. In the FTC's words, a part made for and installed in a new vehicle, then removed and made available for resale or reuse.
- Rebuilt or remanufactured. Under FTC guides, a part may be called rebuilt only if it was dismantled and reconstructed as necessary, cleaned, and its worn or defective parts restored or replaced. Remanufactured or factory rebuilt means that work was done at a factory generally engaged in rebuilding such products.
Sellers carry a duty here too. FTC guides call it unfair or deceptive to sell a used or rebuilt part without clearly disclosing it in advertising, in promotional literature, on invoices and on the packaging, with terms such as Used, Rebuilt or Remanufactured.
Warranties and the Magnuson-Moss Warranty Act
The FTC's consumer guidance is direct: your warranty stays in effect if you use aftermarket or recycled parts. If a defective aftermarket part, or a part installed incorrectly, damages a part the warranty covers, the manufacturer or dealer can deny coverage for that damage, but it must prove the aftermarket part caused it.
The federal rule on tying is section 102(c) of the Magnuson-Moss Warranty Act. A warrantor can't condition a warranty on using a brand-name article or service unless it is provided free under the warranty. The FTC's interpretation gives a prohibited provision as an example, where the parts are not covered by the warranty: "all replacement parts must be genuine 'ABC' parts." The Commission can waive the rule if the warrantor shows the product will work properly only with the named part and the Commission finds the waiver is in the public interest.
Example
A distributor lists the same water pump three ways for one vehicle: the OE part, a new aftermarket pump and a remanufactured pump. The remanufactured listing says Remanufactured in the title, on the invoice and on the box. It sells for $90 plus a $30 core charge, so the buyer pays $90 + $30 = $120 and gets $30 back when the old pump is returned.
On Shopify
Every Shopify product has a Vendor field for the manufacturer, wholesaler or other vendor, and Vendor is one of the standard storefront filters available to all stores in the Search & Discovery app. Metafields let you save specialized information such as part numbers. A single line text metafield for part origin (OE, aftermarket, remanufactured) can become a custom filter, so buyers narrow by origin as well as by vendor.
How Uncap helps
Uncap builds Shopify commerce for auto parts distributors, aftermarket manufacturers and specialty importers: ACES and PIES fitment that a DIY buyer and a counter pro can both use, jobber and fleet tiers enforced at checkout, core charges handled as part of the order rather than after it, and an ERP connection that keeps pricing and availability honest.
Sources
Frequently asked questions
Is it better to use OEM or aftermarket parts?
It depends on the part and the job. Either way, the FTC says a vehicle warranty stays in effect when aftermarket parts are used. The exceptions it names: a warranty that gives you parts for free can require parts it chooses, and coverage can be denied for damage a defective or badly installed aftermarket part causes.
What is better, OE or OEM?
Neither. In the Auto Care Association's glossary they name two sides of the same thing: OE (original equipment) is the parts supplied for vehicle production, and OEMs (original equipment manufacturers) are the companies that supply them.
Do aftermarket oil filters void warranty?
Under the FTC's guidance, using one doesn't by itself void the warranty. If the filter is defective or installed incorrectly and damages a covered part, the manufacturer or dealer can deny coverage for that damage, but it must prove the filter caused it.
