#Deregulation

We knew the Trump administration wanted to deregulate the automotive industry in order to free it from any production hangups, be it imagined or genuine. However, some of the items under consideration for potential elimination are safety features that seem silly to go without. At the top of that list is the requirement that all electrically driven vehicles must emit noise to alert pedestrians to their presence.

However, this isn’t the only safety feature at risk of becoming an optional extra. In budget documents provided to Congress, the National Highway Traffic Safety Administration specified it is considering six separate areas for deregulation. Those include the modern standard for rear-view mirrors and backup cameras in passenger cars, mandatory electronic stability-control units for heavy trucks, and a rule allowing car dealers to install switches to deactivate airbags in customer vehicles.

While some of the rules could be abolished entirely, others are more likely to undergo some gentle retooling to provide automakers greater flexibility. Automakers have long pressed for the revamp of some antiquated, NHTSA-administered safety standards in order to permit the introduction of newer technologies. Still, eliminating any safety mandate is likely to raise the ire of consumer safety advocates, whether the end goal is well-intentioned or not.

China’s Ministry of Industry and Information Technology, in line with President Xi Jinping’s desire for opening the domestic economy to private and foreign investors, plans to relax restrictions on foreign ownership of joint ventures with local automakers in the face of those warning such a move would be the beginning of the end of the Chinese local auto industry.