Society of Indian Automobile Manufacturers (SIAM) has put forth a policy that all auto companies will have to voluntarily rectify the problem in any of the vehicles free of cost. The policy further states that the Government will have to take action against any automobile company who fails to declare a recall in spite of having knowledge of the defects once their vehicles are sold.This new stipulation is applicable to both two wheeler manufacturers and four wheeler manufacturers in the country. The recall will have to cover vehicles within seven years of manufacture and all recall notices will have to be posted on company websites with clear indications to customers to bring in vehicles for a free rectification or replacement of defective parts.
President of SIAM, Mr S Sandilya spoke to the media on Monday in Delhi and informed them of this new policy wherein all members will have to work towards the improvement of quality and responsibility. Auto companies in India will now have to adhere to this policy and immediately rectify all free of charge and without causing any inconveniences to customers.
SIAM President, Mr Sandilya said, “This policy is a consensus of all the members and is yet another initiative towards our commitment to growth with responsibility. In case a manufacturer fails to announce a recall where clear evidence is available as per recall definition and guidelines, then the government of India/ministry may issue appropriate directions to the vehicle manufacturers for such violation.”
When asked about supporting mandatory recall policy, he said, “A voluntary code for recall is good enough. While we have nothing against a mandatory recall policy if the government decides to put one, we will definitely assess if there is a need for it. Speaking about why no fines are mentioned in the policy, S Shandilya said, “Penalties should be considered only when a company knowingly doesn’t recall despite safety issues. It should be done only in case of non-compliance.”