Year of Horsepower: Car industry shifts gears

New warranty rules greeted all around

Under new policies, Chinese customers are entitled to unprecedented rights to return a faulty vehicle for a replacement or refund. [Chen Shichuan / For China Daily]

A new regulation on auto warranties effective since October 2013 has given Chinese customers unprecedented rights to return a faulty vehicle for a replacement or refund.

In January, the General Administration of Quality Supervision, Inspection and Quarantine issued the 3R regulation - repair, replacement or return - for warranty of newly sold vehicles. It has been implemented since Oct 1.

Not only customers but also dealers and carmakers have warmly welcomed the new rule.

However, analysts pointed out that there are still some challenges with regard to implementation, and authorities must continue to revise regulations while working to enforce them.

"Identifying who is responsible could be a complicated task," said Mei Songlin, vice-president and managing director of JD Power China, Shanghai.

Mei also said that dealers should take the initiative to inform customers about the details of the 3R regulation.

Gai Fang, deputy secretary-general of the China Automotive Maintenance and Repair Trade Association, noted that some carmakers may require customers to receive maintenance and repairs in designated dealerships using only approved parts in order to be covered by the warranty.