Announcement of the State Administration for Market Regulation on Seeking Public Comments on the Provisions on the Liability for the Repair, Replacement and Return of Automobile Products for Household Use (Revised Draft for Comment)

Announcement of the State Administration for Market Regulation on Seeking Public Comments on the Provisions on the Liability for the Repair, Replacement and Return of Automobile Products for Household Use (Revised Draft for Comment)
Announcement of the State Administration for Market Regulation on Seeking Public Comments on the Provisions on the Liability for the Repair, Replacement and Return of Automobile Products for Household Use (Revised Draft for Comment)

March 14, 2019

In order to implement the deployment requirements of the CPC Central Committee and the State Council for stimulating the development of a robust domestic market and creating a positive business environment, etc., further standardize after-sales automobile quality guarantees, strengthen the protection of consumers, and maintain the order of the automobile market, the State Administration for Market Regulation has organized the revision to the Provisions on the Liability for the Repair, Replacement and Return of Automobile Products for Household Use in accordance with relevant provisions of the Product Quality Law and other pertinent laws and regulations. This Announcement is hereby issued for public comments thereon. All appropriate units or individuals are welcome to submit their amendment comments, which shall be sent to the State Administration for Market Regulation prior to April 13, 2019. The public may submit their comments by the following means and methods:

1. log into the legal information portal of Chinese government (http://www.chinalaw.gov.cn) and submit comments through the column "Collection of Comments on Legislation" under the main menu on the homepage.

2. log into the website of the State Administration for Market Regulation (http://www.samr.gov.cn) and submit comments through the "Collection & Survey" under the column "Interaction" on the homepage.

3. send comments via email to: fwyzlc@aqsiq.gov.cn. Please mark the email subject with the words "Seeking Public Comments on the Provisions on Three Guarantees of Automobiles for Household Use".

4. Mailing address: the Quality Development Bureau of Madian Office, the State Administration for Market Regulation, No. 9 East Madian Road, Haidian District, Beijing, 100088, China. Please mark the envelope with the words "Seeking Public Comments on the Provisions on Three Guarantees of Automobiles for Household Use".

Provisions on the Liability for the Repair, Replacement and Return of Automobile Products for Household Use (Revised Draft for Comment)

Chapter I General Provisions

Article 1 These Provisions are formulated pursuant to relevant laws and regulations with a view to protecting the legitimate rights and interests of consumers of automobile products for household use (hereinafter referred to as "household automobile products"), defining the liability for repair, replacement and return (hereinafter referred to as "three guarantees") of household automobile products and maintaining the order of the automobile market.

Article 2 These Provisions shall apply to the three guarantees of household automobile products manufactured and sold within the territory of the People's Republic of China.

Article 3 These Provisions are the basic requirements for the three-guarantee liability for household automobile products. By referring to these Provisions and with respect to their three-guarantee liabilities, the dealers of household automobile products are encouraged to make stricter commitments that are more conducive to safeguarding the legitimate rights and interests of consumers. Such commitments shall, once made, be performed in accordance with the law.

Article 4 The three-guarantee liability as referred to herein shall be assumed by the sellers in accordance with the law. Subsequent to assuming the three-guarantee liability in accordance with these Provisions, sellers shall be entitled to recover compensation from manufacturers or other dealers where liability can be attributable to such manufacturers or dealers.
Without prejudice to the legitimate rights and interests of consumers, dealers of household automobile products may enter into contracts stipulating the assumption of the three-guarantee liability, provided that the three-guarantee liability and quality obligation stipulated herein shall not be exempted.

Article 5 Consumers and dealers of household automobile products shall abide by the principle of good faith in exercising their rights, performing their obligations and assuming their liabilities, and shall not commit any malicious fraud.
Dealers of household automobile products shall not deliberately delay in addressing or refuse without justifying grounds consumers' claims for the three guarantees in line with these Provisions.

Article 6 The State Administration for Market Regulation (hereinafter referred to as the "SAMR") shall be responsible for supervising and administering the implementation of these Provisions; organizing the establishment of a three-guarantee information disclosure system for household automobile products (the SAMR may also entrust relevant agencies to establish a three-guarantee information system for household automobile products in accordance with the law and to undertake relevant information management work); and promoting the establishment of a third-party processing mechanism to handle disputes over the three-guarantee liability for household automobile products.
Administrations for market regulation of all provinces, autonomous regions and municipalities directly under the Central Government (hereinafter referred to as "provincial administrations for market regulation") shall be responsible for supervising and administering the implementation of these Provisions within their respective administrative areas.
Administrations for market regulation at the municipal and county levels shall be responsible for accepting consumers' complaints in accordance with the law; imposing administrative punishments for acts in violation of these Provisions, and recording the results thereof into the National Enterprise Credit Information Publicity System to make disclosure to the public.

Article 7 All relevant authorities, agencies and their staff shall, in accordance with the law, be obliged to keep confidential the trade secrets and personal information acquired by virtue of performing their specified duties.

Chapter II Obligations of Manufacturers

Article 8 Manufacturers shall strictly implement the ex-factory inspection system. Household automobile products that fail to pass the inspection shall not leave the factory for sale.

Article 9 Manufacturers shall submit to the SAMR such information concerning the three guarantees of household automobile products as basic information of manufacturers, information of automobile models, materials of stipulated sales or repair outlets, product manuals, three-guarantee vouchers, repair and maintenance manuals, information concerning the resolution of disputes over the three-guarantee liability and return or replacement of vehicles for record-filing and renew the record-filing in a timely manner where there is any change in relevant information.

Article 10 A household automobile product shall be provided with such accompanying documents in Chinese as a product qualification certificate or relevant certificates, as well as a product manual, a three-guarantee voucher and a repair and maintenance manual.
The product manual shall comply with the requirements specified in the Instructions for the Use of Consumer Goods and other national standards.
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