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March 30, 2010

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Home » Business » Auto

Toyota restricts recall package

TOYOTA Motor Corp yesterday promised to compensate Chinese car owners who were victims of the company's latest recall - well, at least in one province.

At this stage, the breakthrough compensation package solely applies to Zhejiang as it is the only area in China with legislation covering vehicle-recall redress.

The announcement came yesterday after a senior delegation of the Japanese company's China venture, FAW Toyota Motor Sales Co Ltd, held closed-door talks with the Zhejiang Provincial Administration for Industry and Commerce.

Toyota also agreed to other demands by the administration - including a fast track on the recalls, offering substitute vehicles and return purchase deals - for affected motorists under the province's consumer rights protection legislation.

The pact did not reveal the amount of compensation, leaving Toyota's maintenance stations across the province to negotiate with consumers according to individual situations.

Detailed solutions concerning compensation standards were expected to be made public soon, Xinhua news agency said, citing Xu Jianmin, secretary general with the Zhejiang Provincial Committee of Consumer Rights Protection.

Consumers in other parts of China could ask their local organizations to contact Toyota about the recall, Xu said.

FAW Toyota spokespeople did not respond to repeated phone calls yesterday.

Toyota announced in late January it would recall about 75,000 RAV4 sport-utility vehicles in China because of potential accelerator problems, nearly 10 percent in Zhejiang.




 

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