One of the world's leading car manufacturers is considering a radical move to make its smaller vehicles more affordable: capping their top speed at 73mph (118kph).
A Cost-Cutting Alternative to EU Safety Rules
Fiat CEO Olivier Francois has revealed the brand is looking at speed limiters as a more cost-effective solution than fitting expensive, mandatory safety equipment. This proposal directly challenges current European Union General Safety Regulation requirements, which demand all new cars have Advanced Driver Assistance Systems (ADAS).
These ADAS technologies include automated emergency braking, lane-keeping assistance, and traffic sign recognition. While aimed at improving road safety and potentially preventing 140,000 serious accidents by 2038, Francois questions their necessity on small, slow-moving city cars.
Why Target City Cars?
Francois argues that the blanket application of these rules is particularly burdensome for affordable, compact models like the Fiat 500, Panda, and Grande Panda. He states that these "democratic" cars, often bought by younger drivers for urban commutes, are "driven at way slower speeds" and have a completely different usage pattern than larger vehicles.
The CEO highlighted that the cost of compliance has been steep. The average price of a city car has risen by 60% over the last five to six years, a hike he largely attributes to the "super-expensive hardware" like sensors and cameras required by law.
Following in Volvo's Tracks
If implemented, Fiat's plan would see it follow a path similar to Swedish brand Volvo, which in 2020 capped the top speed of all its models at 112mph as part of its "Vision Zero" safety ambition. Fiat's proposal, however, is more focused on economic and practical grounds for specific vehicle types.
"Our proposal was literally to say 'let's go a little bit backward from overloading cars with expensive hardware'," Francois explained. By limiting a car's maximum speed to the average legal limit in Europe of 73mph, he suggests the need for certain high-speed-focused ADAS features is reduced.
"I would happily limit my city cars, my smaller cars, to what is today the maximum legal speed limit," he stated, framing it as a sensible limitation that aligns with real-world use and could help keep entry-level motoring accessible.