Go Back   Team-BHP > BHP India > The Indian Car Scene

Thread Tools Search this Thread
Old 2nd December 2014, 16:03   #31
AshBabu's Avatar
Join Date: Nov 2014
Location: Chennai
Posts: 135
Thanked: 106 Times
Default Re: Too Many Recalls: Side-effect of Competition or something else?

Competition reduces the selling price. This in turn impacts the margin. Hence manufacturers are force to optimize their design, which generally means reducing design tolerance. It can be weight reduction, thickness reduction etc.

It should be fine for close design tolerances if the quality is maintained consistently. But for many components coming from external suppliers, maintaining consistent quality will be an issue with low cost production facilities they have to meet the requirements. Also in mass production only sampling Quality check will be done (initial batch inspection would have been 100%). Hence these type of issues can be expected. Stabilization will be attained after few months.

Recall cannot be PR strategy, as it involves cost and also impacts the name of the manufacturer.
AshBabu is offline   Reply With Quote
Old 10th April 2015, 09:05   #32
Distinguished - BHPian
volkman10's Avatar
Join Date: Dec 2010
Location: --
Posts: 11,147
Thanked: 19,241 Times
Default Re: Soon, India to have a "Recall" Policy

The proposed recall /defects policy gets watered down in fines imposed.

Government cuts proposed fines on auto companies for faulty vehicles.According to the earlier version, complaints from 100 vehicle owners were needed to consider a recall. The new draft says the decision will rest on the proposed national authority. Auto makers said the draft lacked clarity.

Name:  auto.jpg
Views: 764
Size:  32.9 KB

The fourth and latest draft of the Road Transport and Safety Bill proposes to impose a penalty of Rs 50,000 for manufacturing faulty vehicles and Rs 1 lakh for refusing to recall them. The original suggestion was Rs 5 lakh for both. Offenders could also be sent to jail for up to three months, a proposal that remains unchanged in the latest version
If a manufacturer, as soon as it becomes aware of a
defect in a particular model, informs the national authority with proof and recalls the vehicle, then it will not be liable for the fine. However, the company will have to compensate the buyers for the full value of the vehicle. They can also either replace or repair it

volkman10 is offline   Reply With Quote
Old 21st April 2015, 17:29   #33
charanreddy's Avatar
Join Date: Nov 2013
Location: Bangalore
Posts: 169
Thanked: 166 Times
Default Re: Soon, India to have a "Recall" Policy

Just read this on ET. From lack of clarity on mandatory recall policy for vehicles with Mfg Defects, We now have a response from the concerned minister in the parliament that there will be no mandatory recall policy and it is upto manufacturers to do a voluntary recall . Wonder what made the Govt change this. Lobbying from Manufacturers ?

charanreddy is offline   (3) Thanks Reply With Quote
Old 22nd April 2015, 20:33   #34
Senior - BHPian
stanjohn123's Avatar
Join Date: Oct 2008
Location: TN 75
Posts: 1,105
Thanked: 432 Times
Default Re: Soon, India to have a "Recall" Policy

I hope our politicians get a defective vehicle with brake failure or a leaking fuel line , maybe then they will reverse this stupid decision.
stanjohn123 is offline   Reply With Quote
Old 22nd April 2015, 21:15   #35
Join Date: Mar 2012
Location: Bangalore
Posts: 158
Thanked: 142 Times
Default Re: Soon, India to have a "Recall" Policy

If I'm right, this is the second instance where the govt. goes completely against common sense. First was reducing the crash speed test to 56 from 64 kmph and claiming that is what is 'suitable' for India. And now this. So what is it this time, mandating voluntary recalls is inappropriate for India?
Originally Posted by charanreddy View Post
Lobbying from Manufacturers ?
Most likely a lot of green has changed hands somewhere...
isiv is offline   Reply With Quote
Old 18th April 2017, 15:57   #36
Distinguished - BHPian
volkman10's Avatar
Join Date: Dec 2010
Location: --
Posts: 11,147
Thanked: 19,241 Times
Default Re: Soon, India to have a "Recall" Policy

The Lok Sabha has recently passed the Motor Vehicles (Amendment) Bill, 2016, which introduces a slew of amendments to the almost three-decade old Motor Vehicles Act, 1988.
The Bill will now have to be passed by the Rajya Sabha, before being forwarded to the President for his assent.

One of the most important changes as per the Parliamentary Standing Committee (PSC) has been the introduction of statutory provisions providing auto recalls.

Here it is:

- The central government (Authority) will have the power to order a manufacturer to recall vehicles of a particular model if there is harm to the environment, passengers or road users.

- If the defect in that particular type of vehicle has been reported to the Authority by a percentage of owners, by a testing agency or if the information has come from any other source, and...

- Auto manufacturers have the right to initiate auto recall proceedings after informing the Authority of such recall.

- The manufacturer or the Authorities could order a full recall and once this is achieved it is mandatory for the manufacturer to either: (i) fully reimburse; (ii) replace or (iii) repair the vehicle.

- There is also a provision for imposition of fines by the Authorities. This would effectively be a game changer as there has never been any provision permitting Authorities to impose monetary penalties on automobile players in India when a fault is discovered by a consumer and a recall is followed.

- No fines would be levied, if a manufacturer notices a defect and voluntarily informs the Authorities and initiates a recall. However, such manufacturer would still be required to reimburse the consumer or replace / repair the defective vehicle

- The legislation is a paradigm shift as it moves from a voluntary code to a legally enforceable regime.

- The primary onus lies on the manufacturer of the vehicle which could be a debatable proposition as various auto component companies are involved in the assembly chain leading to “manufacturing

volkman10 is offline   (1) Thanks Reply With Quote

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Similar Threads
Thread Thread Starter Forum Replies Last Post
"Good day, I am interested in a test drive"...."Sorry sir, we don't have a car for TD" Dippy Indian Car Dealerships 187 16th December 2017 10:15
"Cayenne" we "XC-eed" in our "Endeavour" to "Safari"? Taking powerful metal off-road SS-Traveller 4x4 Excursions 55 10th November 2016 22:56
India does not have a recall policy: Maruti sameer551 The Indian Car Scene 1 1st March 2010 11:39
"Mobile Court" have you been there, i have! xinome Street Experiences 24 2nd August 2007 17:39

All times are GMT +5.5. The time now is 04:51.

Copyright ©2000 - 2018, Team-BHP.com
Proudly powered by E2E Networks