The US auto industry fought air bags for about two decades, saying they were too expensive and that people did not want them: http://www.csmonitor.com/1988/0519/abelt.html

"Top Ford Motor Company executives went so far as to arrange a meeting with President Nixon to plead against a federal regulation that would have required air bags in all cars, starting with 1973 models. The meeting had the desired effect: Mr. Nixon ordered the regulation quashed. Eleven years after the 1971 meeting, a transcript from secret Oval Office tapes disclosed the conversation."

I believe the Toronado air bags might have been offered just to provide a tool to say consumers did not want them.

Earlier on, they also fought seat belts. Then later, they fought for state laws mandating seat belt use by drivers, just so they could say the airbags were not necessary in the presence of seat belts. And a bunch of other stuff. Classic cartel behavior.