by Michael Satterfield - 03/03/2022
Legalization that became law in 2015 as part of the Fixing America's Surface Transportation Act, has finally worked its way through the bureaucracy of Washington D.C.meaing the National Highway Traffic Safety Administration (NHTSA) has finally released its new regulations on low-volume automakers.
For years low-volume manufacturers had to work under the same guidelines as major auto manufacturers, leaving many to sell their cars as incomplete kits. The new regulations will allow companies to construct up to 325 replica cars per year, so long as they meet the following criteria.
- The replica vehicle must resemble a production vehicle that is over 25 years old
- Replicas are given a 10% leeway on overall dimensions to qualify
- Only the exterior needs to resemble the original vehicle, interiors can be completely different
- Vehicles are required to meet current model-year emissions standards
- Vehicles must have safety equipment like seat belts installed, even if the original model did not have such equipment.
- Manufacturers who produce more than 5,000 vehicles annually worldwide would not be able to import cars under these rules.
Manufacturers must also register with the NHTSA, EPA, or CARB before they start selling turn-key cars a process that will likely take several months. Once they are approved they can start selling complete road-ready vehicles to customers.
While the new rules allow replica car manufacturers to produce and sell turnkey cars, it does not protect them from lawsuits over intellectual property. Manufacturers are required to certify that they own or have a license to use the intellectual property, but there are no actual documentation requirements. With as litigious as some manufacturers have become since restarting their own "continuation" programs, kit car manufacturers will have to tread lightly and watch how they market their vehicles.
You can read the entire NHTSA rules HERE
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