Published

India Moves to Strengthen Its Voluntary Recall System

The Indian government plans to introduce a scheme on Oct. 1 that would enable it to impose penalties on carmakers that fail to recall cars to fix safety defects.
#regulations

Share

The Indian government plans to introduce a scheme on Oct. 1 that would enable it to impose penalties on carmakers that fail to recall cars to fix safety defects.

India adopted a voluntary recall program in 2012. The industry has since recalled some 2 million vehicles, The Economic Times reports. But the government currently lacks a mechanism to force manufacturers to take action.

Tougher requirements are being built into a transport and safety bill to be voted on by the next session of Parliament. The rules would enable a new government-appointed agency to conduct its own investigations into safety issues. The government could order recalls if a certain percentage of vehicle owners complain about a safety defect, according to the draft.

The Society of Indian Automobile Manufacturers supports the proposed rules, pending a review of the details. ET says the plan would require manufacturers to continue recalls for as long as three years after the initial owner notification.

RELATED CONTENT

Gardner Business Media - Strategic Business Solutions