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Oh duh, take the bottom washer out! It's what clogs up exhaust. My bad! Project racer - funny I wrote twice in PM. Got your email so will write soon!

Thanks so just to confirm, do I tear off the soft squishy blue foam that's a ring on one side?

Sure I'm interested! I'll PM you. Yes, I did get the exhaust washer gasket from Motosports which should arrive tomorrow! It's #2 in the pic. Good to know I can remove the restrictor. For now, I'd like to keep it in so it keeps bike running slow for my toddler...assuming this won't cause issues with oil/gas mixture.

Sorry, I forgot to add that if replacing the parts doesn't work then I'll look into disconnecting the oil injector and mix my own fuel and see if issue resolves itself.

Thanks for replying. Oddly enough the spark plug has not been fouling as I would expect when oil is too rich. I've had many 2 strokes in my past and this was always a problem. BIke still always fires up and spark plug seems mostly clean. I'm going to order a new carb kit that was posted on eBAy and...

Ooops, forgot the pics! Here's right side of bike: Left side of bike: I'm assuming this little gap between top end on cylinder is normal?

Thanks guys, it's not bolt issue. I figured out it was the "cargo" pants that had alot of slack in knee area. I wore different pants and no issues. So guess need to wear original style in the boots pants - ha!

Thanks, what's the purpose of the fuel stabilizer? Does it help prevent the bike from "running away" from you? I heard from a friend that even with throttle regulator, over time the bike can pickup speed and run away from you so you need to tether a rope to bike when training your little one?

You're spot on Project Racer, the boot part on the original airbox was stiff and rigid and I couldn't get it to fit over carb. I got a new one on Amazon and it fits perfectly, (if anyone wants to know, I can vouch this one works: https://smile.amazon.com/gp/product/B010SJELUC/ref=oh_aui_detailpage_o0…) Good to know about RTV sealer, I used grease but sounds like...

Thanks guys, this is very helpful! I guess I overlooked the fact that the bike is indeed designed to be a "pee wee" bike and is expected to perform well at very slow speeds without issues. Duh! Thanks for replying and clarifying a few things. It sounds like I should cancel my order on the exhaust washer and do without...