July 23, 2022
P.T. Elangperdana Tyre Industry (”EP”) has received a letter dated June 22, 2022 from National Highway Traffic Administration (“NHTSA”) stating that the Office of Vehicle Safety Compliance (“OVSC”) tested the Zeetex AT 1000 tyre, size LT245/75R17 manufactured by EP (the “Subject Tyre”) for compliance with the Federal Motor Vehicle Safety Standards (“FMVSS”) specifically as set forth in 49 C.F.R. Sec. 571.139, New pneumatic radial tyres for light vehicles. The testing was performed in June at Smithers in Ravenne, Ohio. A sidewall separation near the bead area was identified during the post-test visual inspection. The letter further states this constitutes a possible non-compliance with FMVSS No. 139 Section S6.3.2(a)
EP is submitting this report pursuant to provisions of 49 CFR 573
EP conducts, as a part of its routine quality assurance program, following the initial product testing at design and product launch testing, periodic indoor internal surveillance tests of finished products. Throughout these tests, all of its products must fully satisfy standards set forth in 49 CFR §571.139 of Federal Motor Vehicle Safety Standards (“FMVSS”) as well as internally established performance criteria which are on purpose set higher than those of FMVSS. EP regards failure to fully satisfy both FMVSS and internally established performance criteria as a defect.
The result of this defect could be premature ending of tyre service life under extreme conditions of use or abuse of tyres. To this date, however, no returns, complaints, or claims have been presented suggesting or relating to this defect.
The full corporate name of the fabrication manufacturer/brand name/trademark owner of the tyres at issue in this report. If the recalled item of equipment is imported, provide the name and mailing address of the designated agent as prescribed by 49 USC §30164:
Dae-Ki Min,
Esq.27 Dillingham Place
Englewood Cliffs, NJ 07632
Telephone No.: (201)894-8080
Email address: dkmin@dkminlaw.com
The tyres involved are sold in the replacement market. The involved tyres are as follows;
| Generic Name of Item | LT Tyres |
|---|---|
| Manufacturing Plnt |
Plant of P.T. Elangperdana Tyre Industry (Plant Code : 109) |
| Brand |
Zeetex |
| Model |
AT 1000 |
| Size |
LT245/75R17/10 121/118R AT 1000 |
| Additional Sizes added |
LT 235/80 R17/10 120/117R AT1000 (ID) TL(T) |
| Additional Sizes added |
LT 275/70 R18/10 125/122S AT1000 (ID) TL(T) |
| Additional Sizes added |
LT 285/75 R16/10 126/123R AT1000 (ID) TL(T) |
| Additional Sizes added | LT 275/65 R20/10 126/123S AT1000 (ID) TL(T) |
| Additional Sizes added | LT 245/75 R17/10 121/118R AT1000 (ID) TL(T) |
| Function |
LT Tyres |
| Other information which characterizes/distinguishes the items of equipment to be recalled; DOT Number (Plant Code: 109) | |
| Years | DOT Numbers | Quantity |
|---|---|---|
| 2017-2018 | 09 B5 50 | 1849 |
| 2019-2022 | 109 1B51 50 | 4526 |
| For Years of 2022 until Serial Code 2322. | ||
Total Number of Tyres Potentially Containing the Defect
31,500 tyres potentially contain the defect which represents the entire population.
Approximate Percentage of Tyres Estimated to actually contain the defect.
Assumed to be the whole population.
Description of the Defect.
Less than expected sidewall (bead) performance under extreme conditions of use or abuse of tyre.
Chronology of Events Leading to this Defect Determination
- 6/22/2022: Received a letter from NHTSA regarding possible non-compliance with FMVSS No. 139 Section S.6.3.2(a)
- 6/ 23 /2022 until 7/07/2022: Investigation to confirm existence of endurance test results performed at product initiation and from surveillance tests, determine extent of the issue and identification of the cause of the difference was conducted.
- 7/ 8 /2022: We have done our initial and periodicaly surveillance test accordance our internally schedule and the result no noncompliance was found
- 7/22/2022: Nevertheless it is E.P.’s judgement to respect NHTSA’s compliance test result. E.P. immediately stopped production of the subject tyre and is undertaking complete review of the design and manufacturing process and various internal compliance test procedures and test pass/fail criteria. Upon added assurance that the subject tyre complies in every respect with requirements of FMVSS No. 139 Sec. S.6.3.2(a), E.P. will resume production of the subject tyre. For this process, E.P. will seek service of an outside test facility yet to be determined.
Campaign Schedule and Draft Notices.
E.P. plans to remedy the defect by monetary compensation calculated by multiplying the cost of the tyre times the remaining tread depth over the mileage warranty.
Campaign Schedule and Draft Notices
E.P. plans to conduct the recall campaign by following the schedule below:
Once compilation of a list of individual customers who purchased the affected tyres is completed, notice to distributors, dealers, and owners will be sent by certified mail or by regular mail as appropriate within five (5) business days following receipt of a written acknowledgement and approval from the National Highway Traffic Safety Administration. This Notice will offer a monetary compensation as set forth above. All returned tyres will be destroyed by mutilation
Representative Copies of Notifications that Relate to the Defect and plans to be Sent to Dealer or Purchaser are attached hereto for NHTSA’s review and approval
EP’s Plan for Apprising Entities Collecting the Recalled Tyres of Their Legal Obligations with Regard to Destruction and Disposal of Noncompliant Tyres and Plan for Limiting Disposal of Recall Tyres in Landfills
EP’s notice of recall to distributors/dealers will mandate customers and dealers to label each and every recalled tyre with a tag provided by EP and to ship to Zafco International LLC located at before paying compensation for the returned tyre.
EP with Zafco International has maintained a list of the names and addresses of the first purchasers of the recalled tyres. EP will send a recall notice to each and every owner of the recalled tyres registered