Compliance car

nounStandard termAutomotive

A low-volume electric vehicle built solely to meet strict regional emissions regulations.

Automakers produce compliance cars to satisfy government mandates, such as California's zero-emissions vehicle requirements, rather than for broad commercial success. These vehicles are usually existing internal combustion models retrofitted with battery packs and electric motors. They are typically sold at a loss in restricted markets and see minimal marketing effort.

Heard on the job

They only lease that hatchback in three states because it's just a compliance car to keep their fleet average down.