Colorado May Become The First State In Years To Pass A Law Winning The Battle Against Imported Car Bans

For the past four years, enthusiasts across America have been living a nightmare after their states decided that their legally imported cars were no longer able to be driven on the road. Enthusiasts have banded together, working with their lawmakers to enact change. Now, fans of imported cars in Colorado might get the biggest victory against car bans in America since 2019. Colorado just passed a bill that would legally protect tiny cars imported from Japan from being banned by the DMV. Now, it just needs to be signed by Colorado Governor Jared Polis.

The folks of Colorado have been through a lot in the past year. Back in 2024, enthusiasts in the state claimed that the Colorado DMV had “shadow-banned” legally imported cars and trucks. The state didn’t have any published policy banning these cars, but enthusiasts reported that DMV offices simply refused to register their cars without explanation. Others reported being denied emissions testing, which meant that they could not renew their registrations.

Then, in December, the Colorado DMV decided to make its shadow policy a public-facing policy, but it was met by heavy pushback from enthusiasts. The state gave up on making its policy official and instead just went back to banning cars quietly.

Now, the rollercoaster might be coming back into the station because Colorado just passed HB25-1281. If signed by Colorado Governor Jared Polis, the nightmare will end for the owners of tiny Japanese Kei vehicles in Colorado. But this win will be even bigger than that. Since 2019, no state has protected imported cars by passing a law. If Colorado does this, it can be a signal that states are not interested in the bans being pushed by the American Association of Motor Vehicle Administrators, car dealer associations, and state police.

Colorado’s Doing The Right Thing

If Gov. Polis signs HB25-1281, Colorado will become the first state to pass a law that beats AAMVA’s harsher recommendations and do so without silly gotchas like the Georgia bill has in it. Colorado can also become a roadmap for enthusiasts in other states to follow, too.

Here’s what the situation is like in Colorado right now, from my previous report:

According to [Colorado Public Radio], enthusiasts are still reporting that they’re not being allowed to register or emissions test their vehicles. The effect of this is that the state is running out the clock on the registrations of Kei vehicles. This makes the cars illegal to drive since the owners cannot renew their registrations without a valid emissions test. The state also refuses to give these vehicles OHV registration, so they’re effectively banned from roads – again, car-sized paperweights.

CPR spoke with one Colorado JDM owner, Ryan Albarelli, who told a frustrating story about being able to register a 1990 Honda Acty, but the state subsequently refused to emissions test it. Other folks online report similar stories.

Sadly, this strategy of a quiet ban isn’t anything new with Colorado. Enthusiasts in some counties haven’t been able to register Kei vehicles for a long time. Others who did get registrations haven’t been able to emissions test their vehicles, which meant they eventually became illegal to drive even if registered. Enthusiasts have been calling this a “shadow ban” since the state doesn’t have anything official noting the ban.

CPR‘s report also found out who supports Colorado’s ban. Many readers have suspected that the side-by-side/ATV lobby is fighting for the banning of imported cars. Yet, at least in Colorado, major supporters of the ban have been the Colorado Automobile Dealers Association and the Colorado State Patrol. Colorado has attempted to legalize imported vehicles in 2015 and 2016, but both bills failed. Here’s what the Colorado Automobile Dealers Association said when it opposed legalizing Keis in the past, from CPR:

Both groups declined to comment on the coming bill from Hinrichsen. But Tim Jackson, former president and CEO of the Colorado Automobile Dealers Association, said the arguments against legalizing kei vehicles at the state level boil down to two issues: pollution and safety.

“It does set up a two-tier system on both emissions and safety, and I think it contradicts everything that Colorado as a state has been trying to do,” Jackson said, referencing Colorado’s various efforts to improve road safety and clean up the state’s dirty air. Older kei trucks, including Albarelli’s Honda, lack modern systems like fuel injection that lower emissions.

Colorado’s current ban is also a bit harsher than other states. As of now, if you own a vintage military Jeep in Colorado, the state says you should not be eligible for registration for use on the road or on public trails. Meaning, if you own an old surplus military vehicle, the state says you can only use it on private property.

Thankfully, it seems Colorado has had enough of this nonsense. On February 20, HB25-1281 Title Register & Drive Kei Vehicles, was introduced into the Colorado House. The bill’s prime sponsors are William Lindstedt – D, Rep. Larry Don Suckla – R, Sen. Nick Hinrichsen – D, and Sen. Byron Pelton – R. Here’s the bill’s most recent summary:

A kei vehicle is the smallest road-legal, 4-wheeled vehicle in Japan and is imported into the United States as a used vehicle. The bill defines a kei vehicle as a motor vehicle for the purposes of the “Uniform Motor Vehicle Law” and the “Certificate of Title Act”. These acts govern issuing a certificate of title, registering a motor vehicle, and the rules of the road for motor vehicles. The bill authorizes a kei vehicle to operate on the roads and requires a kei vehicle to be issued a certificate of title, be registered, and obey motor vehicle traffic laws.

Driving a kei vehicle on a roadway that has a speed limit greater than 55 miles per hour or on a limited-access highway is prohibited.

For emissions testing, a kei vehicle is tested not using a dynamometer but using a 2-speed idle test. The vehicle must pass the emissions standards for the year it was manufactured.

The department of revenue, the Colorado state patrol, and the agents or contractors of these agencies may not require a vehicle to have an inspection because it is a kei vehicle or has the design or manufacturing parameters of a kei vehicle. And a kei vehicle may not be declared not roadworthy because of its design or manufacturing parameters.

Kei vehicles are included in the motor vehicle dealer and powersports vehicle dealer statutes, and this requires a person to be licensed as a dealer to sell kei vehicles at retail.

The bill would also create a new class B traffic infraction for driving a Kei vehicle on a road faster than 55 mph. One of the motivating factors in the bill is that the state has the opportunity to make some money. If passed, the bill will cost the state a one-time expenditure of $101,000 to reprogram state computer systems and to issue every Kei in the state a fresh 17-digit VIN. From there, proponents of the bill expect the state to make back $93,000 of that within two years on registrations alone and for the legalization of Keis to be technically profitable afterward.

The Cause Of Woe

I’ve been reporting on the car bans spreading across America since 2021. If you haven’t been following this saga, I’ll bring you up to speed. If you’re a regular reader, skip forward!

The United States government bans the legal entry of a car that’s under 25 years old unless that vehicle is converted to comply with Federal Motor Vehicle Safety Standards. That process is horrendously expensive and cannot be done by anyone. It effectively ensures that the average enthusiast waits more than two decades to buy their dream cars.

The American Association of Motor Vehicle Administrators, a non-governmental, non-profit lobbying organization run by DMV administrators and law enforcement officials in all 50 states, Washington D.C., Canada, the Virgin Islands, and Mexico, has been waging a war against legally imported cars.

Tiny imported vehicles appeared on AAMVA’s radar back in the 2000s, when states began wondering what to do with the speed-restricted off-road-only trucks that people were importing. American officials call these trucks “mini-trucks” and they’re limited to 25 mph and were never intended nor imported for road use. Some folks drove them on the road, anyway. The Insurance Institute for Highway Safety crash-tested mini-trucks and found that they weren’t as safe as compact trucks built to FMVSS. In response to research, AAMVA recommended members ban mini-trucks from their roads. Many states obliged.

The organization then apparently discovered that Americans are also importing Kei cars, or the smallest class of road-legal vehicles of Japan. These cars, trucks, and vans often have top speeds as high as 83 mph and are designed for road use. The newest Keis that are legal to import can even be found with airbags.

In 2021, AAMVA announced its strictest guidance yet. The organization recommended that its members ban all vehicles not originally built to FMVSS. That includes every vehicle, regardless of country of origin and regardless of actual size. It’s everything from Kei trucks and BMW wagons to giant buses. AAMVA also took a swipe at vintage military vehicles like WWII Jeeps and Humvees, too, and recommended that those also be removed from the road.

Maine was the launch state for the new bans. The state went through the process to pass a law banning every vehicle not built to FMVSS. Readers have told us that the state’s enforcement of the law has been poor, but the law is still on the books.

Since then, Rhode Island, New York, Pennsylvania, Georgia, Colorado, Michigan, Illinois, Texas, and Massachusetts have either banned Japanese imports or have otherwise restricted them in some way. Enthusiasts have fought back either through lawsuits or by working with regulators. In 2024, Texas became the first state to win the battle against the new rules when enthusiasts successfully convinced TXDMV to reverse its Kei ban. Enthusiasts in Michigan and Massachusetts scored their major wins after.

Georgia is also on the cusp of something resembling a victory, as that state recently passed a bill that technically legalizes Kei cars. However, when you read that bill, you’ll realize that the state wants to make Keis about as legal as golf carts, which really isn’t a win in the long run.

The Importance Of Passing A Law

There is a sad twist to all of this, and it’s that while Texas, Michigan, and Massachusetts did score real, huge victories, the job is only halfway done. Enthusiasts in those states only succeeded in reversing DMV policies. Their states still do not explicitly allow Kei vehicles per their laws. As a result, a successive DMV administrator could easily just reinstate the bans in those states at a future date.

Even if your state doesn’t ban Keis, not having a law that explicitly allows imported cars means that your car is technically in legal limbo. Your DMV may one day decide to ban your car, and you’ll find yourself in the same situation too many of us are in right now.

As enthusiasts in Maine have learned, it’s much harder to overturn a law than it is a policy. So, it’s best to have a law that works in your favor than to have to fight a negative one. The end goal is to get imported vehicles explicitly allowed in law. In 2019, enthusiasts in North Carolina successfully lobbied for the passage of a law that allows both Kei cars and mini-trucks to access roads up to 55 mph. When AAMVA launched its harsher recommendations in 2021, North Carolina did not follow the lead of other eastern states.

Sadly, Colorado’s bill doesn’t help vintage Jeep owners, but it would still be a huge win. If Gov. Polis signs the bill into law, and he is expected to, it will be significantly harder to ban Keis in Colorado. Gov. Polis has reportedly said that he is “excited to expand consumer choice to affordable vehicles and looks forward to supporting kei freedom.”

If this win goes through, it’ll be another perfect demonstration of the power of collaboration. Instead of treating the government as an enemy to be destroyed, enthusiasts teamed up with their lawmakers to enact change. This method was pioneered by the folks in North Carolina and Texas, then proven to work again in Michigan and Massachusetts. So, if you happen to live in a state where your favorite vehicle is banned, consider getting a group together and reaching out to every lawmaker who will listen. That’s what we plan to do in Illinois.