That exception exists for car collectors, who generally have a different set of safety expectations of their cars than you would buying a used car at a corner lot.

Exactly, and circumventing it for vehicles that get regularly used will create a real risk that the rule will get stricter.

I do think the rule is a little too strict, but its almost inevitable that something like it would exist.

Kind of weird that car collectors in the US can't collect modern foreign cars, though. Why not instead just have "accredited collectors" like there are "accredited investors"? Wouldn't that be simpler? "Get the piece of paper waiving your right to car safety, and then you can buy whatever stupid cars you like, as long as you don't drive them very often."

Collectors are in luck and don't need an accreditation: "A vehicle may be permanently imported for show or display. Written approval from DOT is required and should be obtained before the vehicle is exported from the foreign country to the U.S."[1]

1. https://www.cbp.gov/trade/basic-import-export/importing-car

One common beliefs too this is that it’s actually a response to gray market/parallel imports of Mercedes cars from Germany.