Nice idea... But, no.
Aside from the tape adapter malarkey, which is frankly inexcusable when (s)he's already gone to such lengths to put the whole computer in there - surely it'd be possible to get a direct line in to that hifi? I understand that using an Amiga to do this is a novelty but another couple of things bother me... For instance the assertion that MP3 @ 128kbps is "cd quality" (a technical impossibility, period). The speakers in that car must be truly awful if a 192 (assuming 196 is a typo) and a 96 kbps encoding are indistinguishable.