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Ya I really don't see the purpose here. Your talking about a very small percentage of the population, and these are vehicles that very likely see much less street time then a normal automobile. The only logical reason I can think of is for pollution (both sound and exhaust), but again your talking about a very small percentage of the population and vehicles that aren't operated as frequently.
The custom bikes I can kind of understand, because they have a large following....but honestly, how many kit cars do you see on the road (anywhere)?
If anything, the biggest impact will be the loss of revenue to the state from registration, taxes, and insurance....plus the loss of jobs associated with these products....which eventually means less revenue from taxes.
Unless there is a very pecular case of poeple using the kit car exemption to launder otherwise non-sellable vehicles.
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