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Thursday, August 17, 2006

Bugatti: US airbag legislation a threat for business?

Bugatti Veyron
Seems like the US is in stupid regulations mode these days. First the ALMS with Audi, now the National Highway Traffic Safety Administration.
New US airbag regulations could push supercar builder Bugatti to the brink. The manufacturer has reportedly filed a letter with the National Highway Traffic Safety Administration in a bid for exemption, claiming “substantial economic hardship” under the new rules that come into play next month.

The company’s only model, the Veyron would reportedly need to be re-engineered, which could push up the car’s asking price by ten percent. This, on top of the car’s already stratospheric $1.28 million price tag. While that percentage may sound academic when dealing with such an expensive vehicle, Bugatti says it isn’t exactly flush with cash – it expects to lose millions over the next three years regardless of an exemption ruling, and re-engineering the Veyron to accommodate ‘smart’ airbags could cause Bugatti to go belly-up.


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Source: Winding Road

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