Fair Practices and Procedures in Automotive Products Act of 1985

Fair Practices and Procedures in Automotive Products Act of 1985 - Requires the Secretary of Transportation (the Secretary) to conduct a study for the purpose of formulating a strategy to increase the domestic production of automotive products for sale and distribution in interstate commerce. Prohibits such strategy from including either deregulation or macroeconomic measures designed to stimulate general economic growth. Establishes within the Department of Transportation the United States Automobile Industry Advisory Council to assist in formulating the strategy.

Sets forth for all motor vehicle manufacturers which produce over 100,000 motor vehicles for ultimate retail sale in the United States minimum domestic content ratios (the ratio of added domestic value to production costs).

Requires all vehicle manufacturers producing more than 100,000 motor vehicles per model year for sale in the United States to provide information to the Secretary for the purpose of administering this Act.

Establishes penalties for a vehicle manufacturer who fails to meet the minimum domestic content ratio beginning with the first model year following January 1, 1985.

Directs the Secretary and the Federal Trade Commission to conduct a continuing study of the effectiveness of this Act.

Directs the Secretary and the Federal Trade Commission to investigate and prepare a written report regarding policies and practices that manufacturers use to persuade U.S. motor vehicle dealers to favor foreign made parts rather than domestically produced parts.

Requires the Secretary to make a continuing study of the impact of this Act on employment at retail motor vehicle dealerships in the United States, especially franchises that deal partly or exclusively in imports.

Provides for the termination of the minimum content domestic ratio requirement if the Secretary finds that after the sixth model year after this Act is enacted the economic injury to the domestic automotive products industry has been prevented or remedied.

Directs the Secretary to appoint a task force to study the impact of fluctuating currency exchange rates upon vehicle manufacturers and upon domestic production of automotive products for sale in the United States.