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Lawmakers Urge US Recall Of Chinese-Made Tires

FTS said in its letter to NHTSA there may be even more than 450,000 of the tires in circulation, since the Chinese firm at one point revoked an exclusivity agreement and sold such tires to other companies in the United States.
by Staff Writers
Washington DC (AFP) Jun 26, 2007
Four US senators urged the government Tuesday to start a recall of some 450,000 Chinese-made auto tires after a distributor said they may contain safety defects. The lawmakers sent a letter to President George W. Bush urging the National Highway Traffic Safety Administration (NHTSA) "to take immediate steps to recall these defective tires," a joint statement from the senators said.

The letter came a day after the disclosure of a request from US importer and distributor FTS, which said the tires sold under the brand names Westlake, Telluride, Compass and YKS lacked a rubber layer known as a "gum strip," which prevents tread separation.

At least one lawsuit stemming from a fatal accident involving the tires has been filed, according to attorneys. Two persons in a van died and a third suffered a permanent brain injury.

The families of the victims sued FTS, which turned around and filed an 80-million-dollar lawsuit against the Hangzhou Rubber Company, the Chinese manufacturer.

"This is more than just a trade issue, this is a safety issue," said Senator Debbie Stabenow of Michigan, one of the four who urged a recall.

"For too long, Chinese companies have completely disregarded US safety laws, and this administration has stood by and done nothing."

"Amazingly, the NHTSA has not pushed for an immediate recall of these defective products," said the letter, also signed by senators Sherrod Brown, Carl Levin and Robert Casey.

"Instead, it is currently squabbling with FTS over whether FTS has the funds to pay for the recall. With lives potentially at stake, the NHTSA must take an aggressive stance and ensure that a recall goes forward without delay."

China, a traditional source of cheap goods, has caused alarm recently as a string of tainted and dangerous products have been discovered in the United States, triggering concerns among consumers and regulators.

Reports of tainted pet foods, dangerous toys, drugs, fish, cosmetics and other products have led to recalls and bans and potentially more stringent import and food safety laws.

FTS said in its letter to NHTSA there may be even more than 450,000 of the tires in circulation, since the Chinese firm at one point revoked an exclusivity agreement and sold such tires to other companies in the United States.

The company said that it had been assured that the tires in question met US safety standards, but that "at some point in time, unbeknownst to FTS, (the manufacturer) unilaterally changed the construction of the subject tires by omitting belt edge or gum strips between the belts."

Source: Agence France-Presse

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Billionaire Hopes To Move Entire Plant From Brazil To China
Chongqing, China (AFP) Jun 24, 2007
Buy a factory in Brazil and move it to China. It is a plan that is as simple as it is sweeping in its sheer scale and ambition, and if anyone can do it, it must be Chinese billionaire Yin Mingshan -- assuming, that is, the Brazilian government will let him. "Brazil has told us we can buy the factory, but only if we agree not to move it," said 69-year-old Yin, the founder and chairman of Chongqing Lifan Holdings, a giant in motorcycles now hoping to make money on autos too.







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