How to properly conduct an auto recall in China

| BY

Katherine Jo

Foreign auto brands including Volkswagen, BMW and Daimler have recalled thousands of vehicles in China amid tightening quality and safety rules. Carmakers need to comply with AQSIQ requirements on monitoring, filing and recalling defects to avoid costly investigations and penalties

Although China has become the largest automobile market in the world, the legal framework in key relevant sectors is still composed of sub-statutory – and often local and patchy – provisions, especially in terms of market supervision.

Various corporate law restrictions have been in place for years. However, German auto manufacturers have generally been satisfied with their double-digit sales growth rates; in 2014, Volkswagen broke a new sales record in China. The sales volumes of Chinese manufacturers, in contrast, have lagged behind.

This premium content is reserved for
China Law & Practice Subscribers.

  • A database of over 3,000 essential documents including key PRC legislation translated into English
  • A choice of newsletters to alert you to changes affecting your business including sector specific updates
  • Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
For enterprise-wide or corporate enquiries, please contact our experienced Sales Professionals at +44 (0)203 868 7546 or [email protected]