Chinese cars in asbestos recall

The Australian Competition and Consumer Commission has issued a safety recall of almost 24,000 Chinese-built Great Wall and Chery vehicles fitted with gaskets containing asbestos.

Despite being a much-reviled prohibited hazardous substance nowadays, asbestos is frequently found in components of cars sold in Australia prior to 2004.

But instead of mandating an immediate fix for the affected vehicles – including 21,500 Great Wall utes and SUVs and about 2250 Cherys - the government watchdog has ruled their engine bays must be fitted with a warning sticker at the next service.

In many cases that means most gaskets containing the potentially deadly material will never be replaced, although owners of affected vehicles can request the replacement of parts containing asbestos.

While Australia’s cheapest car, the $10,990 the Chery J1 - is not affected, both the Chery J3 and J11 have an engine intake manifold gasket that contains a small amount of bonded asbestos, while the J11 also has the suspect material in its exhaust gasket.

The Chery J11 is not sold in Victoria as it is unavailable with electronic stability control, a mandatory safety requirement in that state.

In total, around 1700 J11s and 550 J3s are affected by the safety issue.

In the case of Great Wall – the first Chinese vehicle brand sold here - the discontinued SA220 ute features 17 engine and exhaust gaskets containing asbestos, while the 2.0-litre diesel engine in the current V200 ute and X200 SUV each have three affected muffler gaskets. The 2.4-litre petrol engine in the V240 and X240 has eight engine gaskets containing asbestos.

No brake or clutch components – which until a decade ago commonly contained asbestos – are affected.

The Australian importer of both Chinese brands, Ateco Automotive, has instructed all Chery and Great Wall dealers to immediately stop selling the affected vehicles.

Ateco has also recalled affected gaskets that were distributed as spare parts.

The company says all newly supplied cars and replacement gaskets are asbestos-free and has advised owners of affected vehicles the gaskets should be replaced by an authorised mechanics when necessary.

According to the ACCC ruling, Ateco must also arrange for warning stickers to be placed in the engine bay of affected cars, prepare a safety training video and other materials for automotive repairers, and ensure that warnings and instructions for the safe handling and disposal of the suspect gaskets are provided with all associated spare parts.

The ACCC said the asbestos does not present any risk to drivers or passengers of affected vehicles, but warned: “Consumers should not perform do-it-yourself maintenance that might disturb these gaskets”.

Ateco says this is consistent with a report it commissioned from independent occupational health and safety consultants, Hibbs & Associates.

That report found that “the gaskets containing asbestos constitute a negligible asbestos-related health risk to the driver and passengers using the vehicle”.

ACCC deputy chair Delia Rickard emphasised the need for professionals to be involved in the gaskets’ removal.

“Asbestos is a prohibited hazardous substance and these engines and exhaust systems should only be worked on by qualified personnel using appropriate safety procedures,” Ms Rickard said.

“The automotive service industry is experienced in managing this risk, as cars sold in Australia before 2004 often had gaskets that contained asbestos.

“However, consumers and automotive repairers must be made aware that the risk may be present in these much newer vehicles. This is the focus of the recall campaign.

“All affected consumers will be contacted directly by Great Wall and Chery. In addition, they will provide training, warning stickers and safety advice to repairers. The ACCC will monitor the recall and Workplace Health and Safety Authorities will monitor the workplace safety issues,” Ms Rickard said.

Customs and Border Protection officers first detected the asbestos in imported spare parts, triggering a safety investigation that involved the ACCC, the WorkCover Authority of NSW, the Department of Education, Employment and Workplace Relations, and Ateco.

“After extensive consultations with the relevant state and federal government authorities, and in line with professional advice, vehicles fitted with these gaskets will remain so until normal in-service replacement is necessary,” said Ateco in a letter to affected Great Wall owners.

“This is consistent with approved procedures for vehicles manufactured prior to December 2003. However if you have any concerns regarding the presence of affected gaskets in your vehicle please do not hesitate to contact our customer service department on 1800 114672 to arrange for the replacement of the affected gaskets.

“Procedures have been prepared and implemented to ensure that the gaskets are handled correctly by mechanics during maintenance of the vehicles. We recommend any work involving these gaskets be carried out by an authorised Great Wall dealer or a licensed motor mechanic who has been made aware of these procedures.”

Ateco says it was aware of the problem for some time and had received a written apology from the management of Great Wall Motors, which had previously assured Australia’s largest independent automotive distributor that its vehicles complied with local legislation and were asbestos-free.

The fact the vehicles from two separate Chinese car-makers are affected indicates a failure in China’s automotive supply chain when it comes to asbestos, which is not yet outlawed in all countries.

The asbestos issue is the latest blow to strike both fledgling Chinese brands, which between them have attracted more than 7600 Australian customers so far this year.

Ateco was forced to replace the front seatbacks in 700 J1 hatchbacks and 1664 J11s last year, while 2500 examples of the V240 ute last year needed their front seatbelts replaced after the bargain-basement model famously scored a lowly two-star ANCAP safety rating. Last year 900 X240 SUVs required attention for potentially leaky brake fluid pipes.