Automotive multiplexing allows sharing information among various intelligent modules inside an automotive electronic system. In order to achieve an optimum functionality, the information should be exchanged among various electronic modules in real time. New features are introduced in automobiles such as Intelligent Vehicle Highway System (IVHS), intelligent transportation support system, engine immobilizers, night vision assistance system, and automated collision avoidance and notification system. The inclusion of such features increases the data traffic over the multiplexing bus. Also, these features require very high speed and expensive bus. Data reduction techniques are used to send the data over a transmission media at high speed. Using the data reduction techniques, we will be able to include new features in automobiles without the need of a high speed bus. Since the automotive environment is different, a special data reduction algorithm is mandated. This paper introduces a data reduction algorithm that guarantees the transfer of data in a relatively short period of time. The algorithm has been developed to fit in the automotive environment. Specifically, it is compatible with SAE J1939. However, it can be applied to any other automotive protocol without loss of generality.