Mexican Media Brands
Chinese Car Makers Face Tougher Warranty Law
A stiffer vehicle warranty law in China may lead to consolidation for some of the nation's smaller carmakers, Reuters says.
#regulations
Share
A stiffer vehicle warranty law in China may lead to consolidation for some of the nation's smaller carmakers, Reuters says.
The country's new "lemon law" gives consumers nearly as much protection as U.S. car buyers, protecting them by requiring free repairs of defects or replacement of faulty vehicles.
Under the new law, a full refund or vehicle replacement is due if serious safety issues are not resolved after two repairs within a two-year, 50,000-km (30,000-mile) warranty period.
Reuters says China's largest manufacturers are ready to handle the new regulations that went into effect this week. But it opines that some of China's 70 homegrown producers many of them assembling vehicles with inferior quality could struggle to cope with sharp increases in warranty costs.
RELATED CONTENT
-
Toyota Targets 2021 Launch for V2V Tech in U.S.
Toyota Motor Corp. plans to expand its vehicle-to-vehicle communication technology to the U.S. by 2021 and offer it across most Toyota and Lexus models in the country by mid-decade.
-
Feds Probe Another Tesla Crash Involving Autopilot Feature
Federal investigators are looking into another crash involving a Tesla Model S electric sedan that was operating in semi-autonomous mode.
-
U.S. in No Hurry to Regulate Autonomous Vehicles
The National Highway Traffic Safety Administration says the emerging technology involved in self-driving cars is too new to be tightly regulated.