Rear-View Camera Bill Has Market Looking Forward Print E-mail
Written by Mike Buetow   
Tuesday, 06 March 2012 13:33

WASHINGTON -- Implementation of a 2008 law mandating rear-view or "back-up" cameras on US vehicles has been delayed -- again -- but the rule ultimately will be a boon to electronics makers.

The original deadline for implementation was Feb. 28, 2011, but it has been repeatedly extended, most recently last month. The new rule calls for implementation by 2014.

More than 200 children die each year in the US from being run over by cars backing up. Using a back-up camera could lower the number of deaths and injuries, experts say.

Rear-view cameras come standard on certain vehicles, including many hybrid and electric cars that lack the noise inherent with gas-powered vehicles. Such equipment is standard on 45% of cars and trucks in the current model year, the New York Times reports. Still, that leaves millions of autos and trucks without them, posing a veritable gold mine for automotive electronics suppliers. According to the US National Highway Traffic Safety Administration, a back-up camera adds up to $200 to the vehicle cost -- making it a roughly $2.7 billion market. The automotive segment has been credited with helping to revive the US surface mount assembly market.

About 78% of cars sold in the US were made domestically, although figures on the origin of peripheral equipment are not readily available.

 

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