A study produced by the Center for Automotive Research puts safety regulations in a new light. If automakers and lawmakers were to converge the safety regulations between the U.S. and the European Union, the proposition would cut down on expenses.
You see, manufacturers are pushing toward a global-vehicle strategy to save money on research and development. That’s why the Euro-spec Ford Mondeo is extremely similar to the U.S.-spec Ford Fusion, save for the engine and turn signals. Much of the same can be said for the Ford Focus RS or Mazda CX-3.
Despite this global-vehicle strategy push, automakers have to comply with the safety regulations of each region they want to sell cars in. In plain English, the U.S. and EU have different safety regulations. Thus automakers require more resources to make the cars comply for both regions. As a prime example of this by-law divergence, Audi and BMW can’t sell cars equipped with laser lights in the United States of America, yet they can do so in the Europe.
The study conducted by the Center for Automotive Research has two solutions to this problem: harmonization or mutual recognition. In the case of harmonization, both regions should agree upon a set of common safety regulations for passenger vehicles. As for mutual recognition, neither the United States of America or European Union have to change their regulations, but they would have to recognize each other’s regulations as acceptable.
The conclusion of CAR’s research speaks volumes: “the two different regulatory regimes cost the automotive industry $3.3 - $4.2 billion per year. Reducing the cost of compliance would benefit consumers through both lower new vehicle prices and more models from which to choose.” The question is, will the lawmakers take note of this study? Only time will tell, though.
The “Potential Cost Savings and Additional Benefits of Convergence of Safety Regulations between the United States and the European Union” study by the Center for Automotive Research is available in the PDF file below.
Despite this global-vehicle strategy push, automakers have to comply with the safety regulations of each region they want to sell cars in. In plain English, the U.S. and EU have different safety regulations. Thus automakers require more resources to make the cars comply for both regions. As a prime example of this by-law divergence, Audi and BMW can’t sell cars equipped with laser lights in the United States of America, yet they can do so in the Europe.
The study conducted by the Center for Automotive Research has two solutions to this problem: harmonization or mutual recognition. In the case of harmonization, both regions should agree upon a set of common safety regulations for passenger vehicles. As for mutual recognition, neither the United States of America or European Union have to change their regulations, but they would have to recognize each other’s regulations as acceptable.
The conclusion of CAR’s research speaks volumes: “the two different regulatory regimes cost the automotive industry $3.3 - $4.2 billion per year. Reducing the cost of compliance would benefit consumers through both lower new vehicle prices and more models from which to choose.” The question is, will the lawmakers take note of this study? Only time will tell, though.
The “Potential Cost Savings and Additional Benefits of Convergence of Safety Regulations between the United States and the European Union” study by the Center for Automotive Research is available in the PDF file below.