[Federal Register Volume 85, Number 168 (Friday, August 28, 2020)]
[Notices]
[Pages 53436-53438]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-18906]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

[Docket No. NHTSA-2020-0020; Notice 1]


Hankook Tire America Corporation, Receipt of Petition for 
Decision of Inconsequential Noncompliance

AGENCY: National Highway Traffic Safety Administration (NHTSA), 
Department of Transportation (DOT).

ACTION: Receipt of petition.

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SUMMARY: Hankook Tire America Corporation (Hankook) has determined that 
certain Hankook Dynapro MT2 tires, do not fully comply with Federal 
Motor Vehicle Safety Standard (FMVSS) No. 139, New Pneumatic Radial 
Tires for Light Vehicles. Hankook filed a noncompliance report dated 
February 19, 2020, and subsequently petitioned NHTSA on March 11, 2020, 
for a decision that the subject noncompliance is inconsequential as it 
relates to motor vehicle safety. This notice announces receipt of 
Hankook's petition.

DATES: Send comments on or before September 28, 2020.

ADDRESSES: Interested persons are invited to submit written data, 
views, and arguments on this petition. Comments must refer to the 
docket and notice number cited in the title of this notice and may be 
submitted by any of the following methods:
     Mail: Send comments by mail addressed to the U.S. 
Department of Transportation, Docket Operations, M-30, West Building 
Ground Floor, Room W12-140, 1200 New Jersey Avenue SE, Washington, DC 
20590.
     Hand Delivery: Deliver comments by hand to the U.S. 
Department of Transportation, Docket Operations, M-30, West Building 
Ground Floor, Room W12-140, 1200 New Jersey Avenue SE, Washington, DC 
20590. The Docket Section is open on weekdays from 10 a.m. to 5 p.m. 
except for Federal Holidays.
     Electronically: Submit comments electronically by logging 
onto the Federal Docket Management System (FDMS) website at https://www.regulations.gov/. Follow the online instructions for submitting 
comments.
     Comments may also be faxed to (202) 493-2251.
    Comments must be written in the English language, and be no greater 
than 15 pages in length, although there is no limit to the length of 
necessary attachments to the comments. If comments are submitted in 
hard copy form, please ensure that two copies are provided. If you wish 
to receive confirmation that comments you have submitted by mail were 
received, please enclose a stamped, self-addressed postcard with the 
comments. Note that all comments received will be posted without change 
to https://www.regulations.gov/, including any personal information 
provided.
    All comments and supporting materials received before the close of 
business on the closing date indicated above will be filed in the 
docket and will be considered. All comments and supporting materials 
received after the closing date will also be filed and will be 
considered to the fullest extent possible.
    When the petitions are granted or denied, notice of the decisions 
will also be published in the Federal Register pursuant to the 
authority indicated at the end of this notice.
    All comments, background documentation, and supporting materials 
submitted to the docket may be viewed by anyone at the address and 
times given above. The documents may also be viewed on the internet at 
https://www.regulations.gov by following the online instructions for 
accessing the dockets. The docket ID number for this petition is shown 
in the heading of this notice.
    DOT's complete Privacy Act Statement is available for review in a 
Federal Register notice published on April 11, 2000 (65 FR 19477-78).

SUPPLEMENTARY INFORMATION: 

I. Overview

    Hankook has determined that certain Hankook Dynapro MT2 tires, do 
not fully comply with paragraph S5.5(f) of FMVSS No. 139, New pneumatic 
radial tires for light vehicles (49 CFR 571.139).
    Hankook filed a noncompliance report dated February 19, 2020, 
pursuant to 49 CFR part 573, Defect and Noncompliance Responsibility 
and Reports, and subsequently petitioned NHTSA on March 11, 2020, for 
an exemption from the notification and remedy requirements of 49 U.S.C. 
Chapter 301 on the basis that this noncompliance is inconsequential as 
it relates to motor vehicle safety, pursuant to 49 U.S.C. 30118(d) and 
30120(h) and 49 CFR part 556, Exemption for Inconsequential Defect or 
Noncompliance.
    This notice of receipt of Hankook's petition is published under 49 
U.S.C. 30118 and 30120 and does not represent any agency decision or 
other exercise of judgment concerning the merits of the petition.

II. Tires Involved

    Approximately 175 Hankook Dynapro MT2 tires, size LT215/85R16, 
manufactured between October 20, 2019, and November 30, 2019, are 
potentially involved.

III. Noncompliance

    Hankook explains that the noncompliance is that the subject tires 
were marked with the incorrect number of nylon plies in the tread; and, 
therefore, do not meet the requirements of paragraph S5.5(f) of FMVSS 
No. 139. Specifically, the tires were marked ``TREAD 2 STEEL + 2 
POLYESTER + 1 NYLON; SIDEWALL 2 POLYESTER'', when they should have been 
marked ``TREAD 2 STEEL + 2 POLYESTER + 2 NYLON; SIDEWALL 2 POLYESTER.''

IV. Rule Requirements

    Paragraph S5.5(f) of FMVSS No. 139, includes the requirements 
relevant to this petition. Each tire must be marked on one sidewall 
with the actual number of plies in the sidewall and the actual number 
of plies in the tread area, if different, as specified in paragraph 
S5.5(f).

[[Page 53437]]

V. Summary of Hankook's Petition

    The following views and arguments presented in this section, V. 
Summary of Hankook's Petition, are the views and arguments provided by 
Hankook. The arguments presented by Hankook have not been evaluated by 
the Agency and do not reflect the views of the Agency. The petitioner 
described the subject noncompliance and stated their belief that the 
noncompliance is inconsequential as it relates to motor vehicle safety.
    In support of its petition, Hankook submitted the following 
reasoning:
    1. Hankook cited the definition of motor vehicle safety as cited in 
the National Traffic and Motor Vehicle Safety Act of 1966, saying that 
there are cases where a vehicle fails to meet the requirements of a 
safety standard, yet the impact on motor vehicle safety is so slight 
that an exemption from the notice and remedy requirements of the Safety 
Act is justified. Hankook also cited NHTSA as saying that the ``true 
measure of inconsequentiality to motor vehicle safety'' for a tire 
labeling error is that the noncompliance has no effect on the 
operational safety of vehicles on which the tires are mounted. See 
Goodyear Tire & Rubber Company, Grant of Petition for Decision of 
Inconsequential Noncompliance, 74 FR l0804 (March 12, 2009). In 
evaluating the effect on motor vehicle safety, Hankook says that NHTSA 
looks to the ``specific facts before it in a particular petition.'' See 
BMW of North America, LLC; Jaguar Land Rover North America, LLC; and 
Autoliv, Inc.; Decisions of Petitions for Inconsequential 
Noncompliance, 84 FR 19994 (May 7, 2019) (citing General Motors, LLC., 
Grant of Petition for Decision of Inconsequential Noncompliance, 81 FR 
92963 (December 20, 2016).
    2. Hankook states that for labeling and marking requirements, NHTSA 
looks to the underlying safety purpose of the labeling and what effect 
the reported noncompliance would have on consumers. ``Where a 
manufacturer has shown that the discrepancy with the safety requirement 
is unlikely to lead to any misunderstanding, NHTSA has granted an 
inconsequentiality exemption, especially where other sources of correct 
information are available.'' See 84 FR 19997; see also 69 FR 19897 
(April 14, 2004) (stating that the relevant consideration in evaluating 
an inconsequentiality petition is ``whether an occupant who is affected 
by the noncompliance is likely to be exposed to a significantly greater 
risk than an occupant in a compliant vehicle'').
    3. Hankook says that the noncompliance involves new pneumatic 
radial tires used on passenger vehicles that incorrectly list the 
``actual number of plies in the sidewall, and the actual number of 
plies in the tread area.'' See 49 CFR 571.139 (FMVSS No. 139) S5.5(f). 
The incorrect ply labeling information does not affect the operational 
safety of vehicles on which the tires are mounted. The tires meet or 
exceed the performance requirements of FMVSS No. 139, and they 
otherwise comply with the labeling and performance requirements of 
FMVSS No. 139. In addition, Hankook is not aware of any warranty 
claims, field reports, customer complaints, or any incidents, 
accidents, or injuries related to the subject condition.
    4. Hankook states NHTSA has granted numerous petitions for 
inconsequential noncompliance related to mislabeling the ply 
information. See Bridgestone Americas Tire Operations, LLC, Grant of 
Petition for Decision of Inconsequential Noncompliance, 78 FR 47049 
(August 2, 2013); Hankook Tire America Corp, Grant of Petition for 
Decision of Inconsequential Noncompliance 79 FR 30688 (May 28, 2014); 
and Nitto Tire U.S.A., Inc., Grant of Petition for Decision of 
Inconsequential Noncompliance, 81 FR 17764 (March 30, 2016). In 
granting petitions related to incorrect ply information, the Agency has 
explained that, ``[a]lthough tire construction affects the strength and 
durability of tires, neither the Agency nor the tire industry provides 
information relating tire strength and durability to the number of 
plies and types of ply cord material in the tread sidewall.'' See 
Continental Tire the Americas, LLC, Grant of Petition for Decision of 
Inconsequential Noncompliance, 83 FR 36668 (July 30, 2018).
    5. Hankook goes on to say that following passage of the 
Transportation Recall, Enhancement, Accountability, and Documentation 
(TREAD Act) (Pub. L. 106-414), NHTSA looked closely at the impact tire 
labeling had on users. After collecting comments to an Advanced Notice 
of Proposed Rulemaking and obtaining information from consumer focus 
groups, the Agency concluded that ``it is likely that few consumers 
have been influenced by the tire construction information (number of 
plies and cord material in the sidewall and tread plies) provided on 
the tire label when deciding to buy a motor vehicle or tire.'' See 
Cooper Tire & Rubber Company Grant of Petition for Decision of 
Inconsequential Noncompliance, 70 FR 53711 (September 9, 2005); see 
also Michelin North America, Inc., Grant of Petition for Decision of 
Inconsequential Noncompliance, 69 FR 52064 (August 24, 2004). Based on 
these findings, NHTSA determined that ``most consumers do not base tire 
purchases and vehicle operation parameters on the number of plies in 
the tire.'' See Hankook Tire America, Corp., Grant of Petition for 
Decision of Inconsequential Noncompliance, 69 FR 12196 (March. 15, 
2004).
    6. Hankook asserts that in consideration of the impact on the tire 
retread, repair, and recycling industries, NHTSA has concluded that the 
``use of steel cord construction in the sidewall and tread is the 
primary safety concern of these industries,'' and that this concern is 
not present when the tire is correctly marked with the number of steel 
plies. See Michelin North America, Inc., Grant of Petition for Decision 
of Inconsequential Noncompliance, 75 FR 17828 (April 7, 2010).
    7. Hankook states that based on these factors, NHTSA has routinely 
concluded that mislabeling the number of plies is inconsequential to 
vehicle safety. See Continental Tire North America, Grant of Petition 
for Decision of Inconsequential Noncompliance, 72 FR 5494 (February 6, 
2007); Goodyear Tire & Rubber Company, Grant of Petition for Decision 
of Inconsequential Noncompliance, 74 FR 10804 (March 12, 2009); Cooper 
Tire & Rubber Company, Grant of Petition for Decision of 
Inconsequential Noncompliance, 78 FR 47050 (August 2, 2013); and 
Sumitomo Rubber Industries, Ltd., Grant of Petition for Decision of 
Inconsequential Noncompliance, 83 FR 13002 (March 26, 2018).
    8. Hankook believes the same reasoning applies to the subject 
tires. Mislabeling the number of nylon plies does not affect the 
operational safety of the vehicles. Further, the subject Hankook tires 
correctly label the number of steel plies, alleviating the safety 
concern for the tire retread, repair, and recycling industries.
    Hankook concluded by expressing the belief that the subject 
noncompliance is inconsequential as it relates to motor vehicle safety, 
and that its petition to be exempted from providing notification of the 
noncompliance, as required by 49 U.S.C. 30118, and a remedy for the 
noncompliance, as required by 49 U.S.C. 30120, should be granted.
    NHTSA notes that the statutory provisions (49 U.S.C. 30118(d) and 
30120(h)) that permit manufacturers to file petitions for a 
determination of inconsequentiality allow NHTSA to exempt manufacturers 
only from the duties found in sections 30118 and

[[Page 53438]]

30120, respectively, to notify owners, purchasers, and dealers of a 
defect or noncompliance and to remedy the defect or noncompliance. 
Therefore, any decision on this petition only applies to the subject 
tires that Hankook no longer controlled at the time it determined that 
the noncompliance existed.
    However, any decision on this petition does not relieve equipment 
distributors and dealers of the prohibitions on the sale, offer for 
sale, or introduction or delivery for introduction into interstate 
commerce of the noncompliant tires under their control after Hankook 
notified them that the subject noncompliance existed.

    Authority: 49 U.S.C. 30118, 30120: delegations of authority at 
49 CFR 1.95 and 501.8.

Otto G. Matheke III,
Director, Office of Vehicle Safety Compliance.
[FR Doc. 2020-18906 Filed 8-27-20; 8:45 am]
BILLING CODE 4910-59-P


