Toyota agrees to pay expenses
Source: Xinhua |
April 9, 2010, Friday
|
Print Edition
Print Edition
So far, 251 Toyota owners in east China's Zhejiang Province have received compensation from the Japanese auto maker to cover expenses incurred by January's recall.
An average of 300 yuan (US$43.9) was offered to RAV4 owners either in cash or through coupons, the Zhejiang Provincial Administration for Industry and Commerce said yesterday.
Last Monday, Toyota agreed, after talking with authorities in Zhejiang, to compensate owners of its RAV4 vehicles in accordance with the province's consumer rights regulations.
"Although 300 yuan is not much, it symbolizes our victory in rights protection as Chinese consumers have never been compensated for car recalls," said Chen Feijun, a RAV4 owner who had filed complaints to Zhejiang's consumer protection authority asking Toyota to cover the money he had spent in transportation and absence from work.
On Sunday, Chen accepted Toyota's offer of a 300 yuan coupon and used it to pay for vehicle maintenance services the same day.
Zhejiang is the only Chinese province that has legislation requiring companies to compensate customers for car recalls.
Local experts said that if Toyota applied the compensation plan to all Chinese consumers, it could cost the auto giant 20 million yuan.
Headed by Hideki Nagae, vice general manager of FAW Toyota Motor Sales Co Ltd, a Sino-Japanese joint venture, the Toyota delegation also agreed to accelerate the recall, offer substitute vehicles and return purchase deposits.
To live up to its promise, Toyota has started providing a door-to-door recall service in Zhejiang.
It has so far finished fixing 90 percent of the recalled cars, offered 32 customers substitute vehicles, and returned deposits to 68 customers who canceled their orders for RAV4s, said the administration.
Toyota announced in January that it would recall more than 75,000 RAV4 vehicles in China due to an accelerator pedal problem. Almost 10 percent of the vehicles recalled were in Zhejiang.
(Xinhua)
An average of 300 yuan (US$43.9) was offered to RAV4 owners either in cash or through coupons, the Zhejiang Provincial Administration for Industry and Commerce said yesterday.
Last Monday, Toyota agreed, after talking with authorities in Zhejiang, to compensate owners of its RAV4 vehicles in accordance with the province's consumer rights regulations.
"Although 300 yuan is not much, it symbolizes our victory in rights protection as Chinese consumers have never been compensated for car recalls," said Chen Feijun, a RAV4 owner who had filed complaints to Zhejiang's consumer protection authority asking Toyota to cover the money he had spent in transportation and absence from work.
On Sunday, Chen accepted Toyota's offer of a 300 yuan coupon and used it to pay for vehicle maintenance services the same day.
Zhejiang is the only Chinese province that has legislation requiring companies to compensate customers for car recalls.
Local experts said that if Toyota applied the compensation plan to all Chinese consumers, it could cost the auto giant 20 million yuan.
Headed by Hideki Nagae, vice general manager of FAW Toyota Motor Sales Co Ltd, a Sino-Japanese joint venture, the Toyota delegation also agreed to accelerate the recall, offer substitute vehicles and return purchase deposits.
To live up to its promise, Toyota has started providing a door-to-door recall service in Zhejiang.
It has so far finished fixing 90 percent of the recalled cars, offered 32 customers substitute vehicles, and returned deposits to 68 customers who canceled their orders for RAV4s, said the administration.
Toyota announced in January that it would recall more than 75,000 RAV4 vehicles in China due to an accelerator pedal problem. Almost 10 percent of the vehicles recalled were in Zhejiang.
(Xinhua)
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