He means giving cars status effects for the enviorment around them.
When it is raining, at high speeds the engine would be cooler, allowing the car to run faster.
When it is going over rough terrain, the suspension and tires would take damage and it would force the engine to work harder
A lack of oil would damage the engine
A lack of water would cause the engine to overheat
And actual physical damage to the components would make it react differently, ie if you shot the tire it would go slower, or if you shot the engine block with a big enough rifle or shot it enough times it wouldn’t start or would run horribly, or if you shot the fuel tank it would explode.
Doesn’t have to be shooting either, could consist of running into trees would cause the fuel tank to explode if for some reason you put it on the tip of the vehicle.