Asbestos row halts Chery, GWM sales

In this picture taken on October 26, 2011 workers assemble one of the many car models at Chinese carmaker's Chery Automobile plant in Wuhu, east China's Anhui province. The growth of China's car market will be driven primarily by exports this year because domestic sales have slowed dramatically, as the world's largest car market -- sold 614,000 cars abroad in the first nine months of 2011, a 60 percent rise on the same period in 2010. CHINA OUT AFP PHOTO

In this picture taken on October 26, 2011 workers assemble one of the many car models at Chinese carmaker's Chery Automobile plant in Wuhu, east China's Anhui province. The growth of China's car market will be driven primarily by exports this year because domestic sales have slowed dramatically, as the world's largest car market -- sold 614,000 cars abroad in the first nine months of 2011, a 60 percent rise on the same period in 2010. CHINA OUT AFP PHOTO

Published Aug 15, 2012

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Some 23,000 cheap Chinese-made cars have been recalled in Australia after asbestos was found in their engines, with unions demanding to know how they came to be in the country.

Importer Ateco Automotive instructed all Chery and Great Wall dealers to stop selling the affected vehicles, with the Australian Competition and Consumer Commission (ACCC) closely watching developments.

The asbestos was found bound in gaskets in the engine and exhaust systems.

ACCC deputy chair Delia Rickard said: “Asbestos is a prohibited hazardous substance and these engines and exhaust systems should only be worked on by qualified personnel using appropriate safety procedures.

“The ACCC will monitor the recall, and Workplace Health and Safety authorities will monitor the workplace safety issues.”

The Australian Manufacturing Workers Union (AMWU) said it was unacceptable that the cars were allowed into Australia, which has banned the importation or use of asbestos since 2004.

“Asbestos kills people, it's that simple.”

National secretary Paul Bastian said: “It should not be in homes, construction material or cars.

“If companies cannot guarantee that they do not have deadly substances in their vehicles, then simply they should not be able to import their products.

“We call on prosecutions to be served on anyone who imports asbestos into Australia.”

The ACCC said customs officers detected the asbestos, which triggered a safety investigation that led to the cars being recalled.

Prolonged inhalation of asbestos fibres can cause serious illnesses, including malignant lung cancer.

Rickard said the automotive industry was experienced in managing the asbestos risk.

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

“However, consumers and automotive repairers must be made aware that the risk may be present in these much newer vehicles.” - AFP

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