The Three Guarantees Regulations Promulgated the imminent and ancillary measures have been promulgated
Although the automobile recall system was established on March 15 this year, the implementation of the "Three Guarantees" policy for vehicles has been delayed. However, a recent report from reliable sources indicates that China's auto "Three Guarantees" policy has now been finalized and is awaiting final approval from the relevant authorities. According to insiders, if no unexpected issues arise, the policy is expected to take effect on October 1st.
To ensure a smooth rollout of the defective vehicle recall system on that date, the Administration for Quality Inspection and Supervision (AQSIQ) has recently introduced four sets of supporting measures related to the "Regulations on the Management of Defective Automobile Recalls." These include improved information systems, expert databases, investigation procedures, and supervision mechanisms. AQSIQ is also planning a series of promotional campaigns to raise awareness among consumers and industry players.
The "Three Guarantees" policy, which covers repairs, replacements, and refunds, has long been absent from the automotive sector, despite being applied to other major consumer goods. However, with the rapid increase in car ownership and the rising number of consumer disputes, the need for such a policy has become more urgent than ever.
Industry experts note that while some manufacturers have already initiated voluntary recalls, the "Three Guarantees" regulation is crucial for addressing current complaints and protecting individual consumer rights. According to data from the National Consumers Association, vehicle complaints increased by 44.2% in 2003 compared to 2002, reaching 5,651 cases. In Shanghai alone, vehicle complaints rose by 107.33% in the same period, highlighting the growing demand for better consumer protection.
One of the main challenges of the "Three Guarantees" policy is how to handle situations where consumers have already paid taxes or license fees. Although government departments have proposed solutions, many companies are reluctant to replace vehicles, using this as an excuse to avoid responsibility. Once the policy becomes official, such practices will no longer be acceptable.
In addition, the Ministry of Public Security and the State Taxation Administration have introduced new regulations last year. For instance, if a vehicle's license plate needs to be changed due to quality issues, the manufacturer must prove that the process can be done without additional cost. Similarly, consumers who return vehicles due to quality problems can apply for tax refunds using a manufacturer’s certificate.
Despite these developments, challenges remain. Industry insiders point out that the policy appears to favor manufacturers over consumers, with imported cars excluded from the scope. Another key issue is determining who will assess the quality of vehicles. Currently, there are few independent testing agencies in China, and the process is often expensive and complicated. Most quality assessments are still conducted by manufacturers themselves, raising concerns about objectivity and fairness.
To address these issues, AQSIQ has issued four key supporting measures: the "Defective Automobile Products Recall Information System Management Measures," the "Measures for Establishment and Management of Defective Automobile Product Recall Experts Database," the "Measures for Implementation of Defective Automobile Product Survey and Determination," and the "Measures for Supervision and Supervision of Defective Automotive Product Management."
Before the official launch of the recall system, AQSIQ will organize training sessions for industry professionals, covering topics such as legislative background, terminology explanation, and corporate response strategies. This initiative aims to help businesses fully understand the new regulations and prepare for their effective implementation.
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