FIAT’s Radical Proposal: City Cars Should Be Limited to 117 km/h
Small city cars, once the backbone of the European automotive market, are now facing a serious crisis. Popular models such as the Volkswagen Up!, SEAT Mii, Skoda Citigo, Peugeot 108, Citroen C1, Toyota Aygo, Ford Ka, and Ford Fiesta have either been discontinued or quietly withdrawn due to rising costs and shrinking profit margins.
One of the main reasons behind this decline is the European Union’s increasingly strict safety and emissions regulations. In particular, mandatory advanced driver assistance systems (ADAS) have become a significant financial burden for compact and affordable vehicles.
Safety Regulations Driving Prices Up
Lane-keeping aids, collision avoidance systems, radars, cameras, traffic sign recognition technologies, and the software managing them all add substantial costs. According to FIAT CEO Olivier François, these requirements have pushed the prices of city cars up by nearly 60% over the past five to six years.
François argues that the issue is not the technology itself, but the fact that it has become disproportionate to the intended use of city vehicles. Equipping cars designed primarily for urban, low-speed driving with systems meant for high-speed scenarios offers little real-world benefit.
The 117 km/h Concept: Less Speed, More Affordability
FIAT’s proposed solution is both simple and controversial: limit the maximum speed of city cars to 117 km/h. This threshold aligns with average legal speed limits across Europe and reflects how these vehicles are actually used.
By enforcing such a cap, FIAT believes that expensive ADAS systems designed for high-speed driving would no longer be necessary. As a result, manufacturing costs could be reduced, allowing city cars to return to more affordable price points.
Alignment with the EU’s Upcoming M1E Category
FIAT’s vision also aligns closely with the European Union’s proposed M1E vehicle category. Although the details are still under development, the goal is to reduce unnecessary technological requirements and pave the way for affordable electric city cars.
If implemented, this approach could mark a shift in the automotive industry—from the pursuit of “more technology at all costs” toward a philosophy of “technology that meets real needs.” FIAT’s bold proposal may well redefine the future of urban mobility.
