Federal regulations provide four classes of exemptions to automakers. One of them is for small manufacturers pleading economic hardship that turn out fewer than 10,000 vehicles a year.
Since 1974, NHTSA has received 175 petitions for exemptions to various standards. It granted 152 and turned down 20. Two were closed for other reasons.
| | | | __ Regulatory News By Agency __ | | | | | | |
_____Ultimate Car Guide_____
•
Car Resources: Find tips, resources, car reviews, special features and answers to your car-buying or selling questions.
|
| |
|
"The review consists of looking at their financial situation and looking at the pickle they are in," said Stephen R. Kratzke, NHTSA's associate administrator for rulemaking. Companies must also demonstrate that they tried to comply with the rule.
Kratzke said many of the companies that have won exemptions make highly specialized, low-volume vehicles such as stylized sports cars, race cars and vintage replicas.
For example, the agency in January 2004 told Saleen Inc. of Irvine, Calif., which makes limited-edition sports cars that cost $400,000 each, that it had approved an air-bag exemption based on financial hardship. It also gave British Coach Works Ltd. in Arnold, Pa., a temporary pass in 1985 on air bags after it agreed that the company was in an economically depressed part of the country. The company said it would be able to hire 10 more workers if it could stay in business.
Ferrari, however, got a thumbs down in 1990 when NHTSA refused an air-bag exemption request. The agency said the company was in sound financial condition and demand for its products was high.
Cross Lander, while stressing that it is in economic jeopardy, also said the vehicle would be used by hunters, farmers and land surveyors and for "off-roading." In other words, it won't be used as a primary vehicle in traffic.
The petition pointed out that the Cross Lander 244X is a "Spartan utility vehicle" not likely to appeal to soccer moms or even those who buy the amenity-laden Hummer.
Safety advocates, however, don't buy the argument.
"What this comes down to is trading the lives of American motorists for the Romanian economy. That's not a good deal," said Clarence Ditlow, director of the Center for Auto Safety. "If any petition should be turned down pro forma, it should be this one."
Ditlow said most SUVs barely get a glimpse of the off-road but are driven on highways and city and suburban streets.
Most consumers consider air bags a primary safety feature, not an option. Air bags, according to numbers compiled by NHTSA, saved 14,227 lives between 1987 and 2003.
Kratzke said nothing has been decided but, in general, Congress intended that exemptions were appropriate for small companies that mean to meet safety standards but need more time.
"These are very small companies. This isn't Toyota," he said.
