Personally I think P205/40/ZR17 is WAY to short for a 1967 Camaro. Your overall tire diameter (OD) is only 23.45 inches. In comparison a P225/60R15 (F60x15 in a bias ply tire) is about the same size a Z28 used in 1967 is 25.62 inches. That's over 2 inches difference. You will be putting alot more wear and tear on your suspension. A P215/65/R15 which was used by GM on many cars including Z28's, RS Camaro's and IROC's from 1982-1992 is 26.00 in OD. FWIW, the P235/60R15's I run are 26.10 OD.
I know there are guys out there who have built shrines and temples and Icons to 17 & 18" wheels on first gens. That's fine. But these same guys also criticize other people who run sumped gas tanks and MSD Ignition like I do but prefer the 15" Rally Wheel look of a "sleeper". To each their own.
Here is a tire size comparison tool. I love this thing. http://www.1010tires.com/TireSizeCal...?action=submit
You actually need more height on that tire which is called the aspect ratio. Back when I was in the car business from 1989-1998 I saw all to many kids take P235/75/R15's off their Blazer's. They lowered the thing and then ran P205/50/R15's and wondered why their front end was trashed after a few months especially the ball joints. I was the same age they were but I would never put a diameter of a tire on a car which was smaller than the manufacturer intended. Back then several auto manufactures also stated that changing the overall diameter in a tire would affect your cars ABS system as the ABS sensed tire revolutions per second and would not react properly. You don't have to worry about ABS in a first gen. But nonetheless this was related to me first hand from a Chrysler Engineer and a Ford Engineer as well as GM.
Times have changed. But even the tire comparison tool states you should stay within 3% of the original tire diameter otherwise brake failure can occur. I guess I'm not so old school after all and I'm in my late 30's.
Also FWIW if you must have 17's you gotta double check your back spacing/offset. I would go with P205/55/17. Even a P205/75/R14 which GM used alot back when they went to Radial tires is 26.10 in OD.....Interesting, the same OD as P235/60R15 which is what I run on my 1969 with no issues. The P195/75R14 found on many RWD GM cars in the 70's & 80's was 25.51 in OD....Very close to the P225/60R15 which I believe was E60x15 in a bias ply tire. The Mustang GT & LX 5.0L ran P225/60R15 as well back in the 1980's through early 1990's.
P.S. P195/75/R14 = E78x14 in a bias ply tire and P205/75/R14 = F78x14
I hope this info helps you out.
Bottom Line: you need more height (taller aspect ratio) on your car...Just my 2 cents.
Greg aka SSG&H