Chinese Cars Recalled in Australia Due to Use of Asbestos

In a blow to their reputation, almost all of the budget-priced Chinese cars sold in Australia are about to be recalled because they contain potentially deadly asbestos in engine and exhaust gaskets.

Customs and Border Protection officers raised the alarm when they detected asbestos in imported spare parts.

The recall will affect 21,500 vehicles from Great Wall and 2,250 units from Chery that have been delivered in Australia. The tainted parts will not be removed, but warning stickers will be attached in the cars’ engine bay.

Great Wall launched sales in the market in 2009 and Chery in 2010.

The Australian Competition and Consumer Commission, which is monitoring a recall, says the Chery J1 model and newly imported stock of both brands are unaffected by the recall.

The ACCC says asbestos is bound into gaskets in the engine and exhaust system and does not present any risk to consumers during use of the vehicle. However, consumers should not perform do-it-yourself maintenance that might disturb these gaskets.

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

ACCC Deputy Chairwoman Delia Rickard says in a statement.

Asbestos, once common in brake pads and gaskets, is known to cause mesothelioma and lung cancer and has been banned in Australia since 2003.

A report in The Age newspaper in Melbourne suggests the importer of both brands, Ateco Automotive, may have been misled by the Chinese.

Before signing on as their exclusive Australian importer, Ateco was given written assurances by Great Wall and Chery that their vehicles complied with Australian regulations and did not contain any asbestos.

“It is understood Ateco uncovered the presence of asbestos in various gaskets and notified Great Wall and Chery, but was given further assurances it was not used in the production process,” The Age says.

It later was proved that there was asbestos in as many as eight gaskets in each vehicle, while some had one or two gaskets containing asbestos.

Ateco says it froze the vehicle stock and asked the auto makers to stop production and replace the affected components, which the report says has been done on newer models.

Ateco has known about the issue for “a period of months,” the newspaper says, and has been working with various government departments including Work Cover and the ACCC to determine a course of action.

An assessment commissioned on behalf of Ateco by occupational health and safety consultants Hibbs and Associates concluded there were “negligible” health risks for drivers, passengers and mechanics working on the cars.

However, the report concedes that in severe cases there still is some risk of breathing in asbestos fibers.

Chery’s car range starts with the J1, selling in Australia for a drive-away price of A$10,990 ($11,537). Great Wall prices begin at A$17,990 ($18,882) for the 2.4L 4-cyl. gasoline single-cab pickup.

Chery J1 sedans were recalled last year when the ACCC said under certain operating conditions the integrity of the seat-frame structure may be compromised due to an internal non-conformity of both front-seat backrests.

Chery J11 vehicles also were called back because ACCC said the side-impact capabilities of the vehicle might not adequately protect the occupants in the event of an accident. “In the event of a side impact, the vehicle may not perform to the manufacturer's required specifications,” the recall said.

Great Wall’s X240 vehicles were recalled last year because the steering column could rub against the brake pipe during operation, resulting in a leak in the hydraulic brake pipe and a loss of braking.

The ACCC says Ateco has instructed all Chery and Great Wall dealers to stop selling affected vehicles and has recalled gaskets that were distributed as spare parts.

The company is directly advising car owners that gaskets should only be replaced by authorized mechanics when replacement is required and is ensuring that warnings and instructions for the safe handling and disposal of gaskets are provided with all spare parts that include an affected gasket.

It also has prepared a safety training video and other materials for automotive repairers.

“The automotive service industry is experienced in managing this risk, as cars sold in Australia before 2004 often had gaskets that contained asbestos,” the ACCC’s Rickard says.

“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.”