[Federal Register Volume 79, Number 101 (Tuesday, May 27, 2014)]
[Notices]
[Pages 30232-30234]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-12130]


-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration


Petition for Exemption From the Federal Vehicle Theft Prevention 
Standard; Jaguar Land Rover North America LLC

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

ACTION: Grant of petition for exemption.

-----------------------------------------------------------------------

SUMMARY: This document grants in full the Jaguar Land Rover North 
America LLC's, (Jaguar Land Rover) petition for an exemption of the 
Discovery Sport vehicle line in accordance with 49 CFR part 543, 
Exemption from Vehicle Theft Prevention Standard. This petition is 
granted because the agency has determined that the antitheft device to 
be placed on the line as standard equipment is likely to be as 
effective in reducing and deterring motor vehicle theft as compliance 
with the parts-marking requirements of 49 CFR part 541, Federal Motor 
Vehicle Theft Prevention Standard (Theft Prevention Standard). Jaguar 
Land Rover also requested confidential treatment of specific 
information in its petition. The agency will address Jaguar Land 
Rover's request for confidential treatment by separate letter.

DATES: The exemption granted by this notice is effective beginning with 
the 2015 model year (MY).

FOR FURTHER INFORMATION CONTACT: Ms. Deborah Mazyck, Office of 
International Policy, Fuel Economy and Consumer Programs, NHTSA, W43-
443, 1200 New Jersey Avenue SE., Washington, DC 20590. Ms. Mazyck's 
phone number is (202) 366-4139. Her fax number is (202) 493-2990.

SUPPLEMENTARY INFORMATION: In a petition dated February 19, 2014, 
Jaguar Land Rover requested an exemption from the parts-marking 
requirements of the Theft Prevention Standard for the Jaguar Land Rover 
Discovery Sport vehicle line beginning with MY 2015. The petition 
requested an exemption from parts-marking pursuant to 49 CFR part 543, 
Exemption from Vehicle Theft Prevention Standard, based on the 
installation of an antitheft device as standard equipment for the 
entire vehicle line.
    Under 49 CFR 543.5(a), a manufacturer may petition NHTSA to grant 
an exemption for one vehicle line per model year. In its petition, 
Jaguar Land Rover provided a detailed description and diagram of the 
identity, design, and location of the components of the antitheft 
device for the Discovery Sport vehicle line. Jaguar Land Rover stated 
that the MY 2015 Discovery Sport vehicle line will be equipped with a 
passive, transponder based, electronic engine immobilizer antitheft 
device as standard equipment. Key components of its antitheft device 
will include a power train control module (PCM), instrument cluster, 
body control module (BCM), keyless vehicle module (KVM), remote 
frequency receiver (RFA), Immobilizer Antenna Unit, Smart Key and door 
control units. Jaguar Land Rover stated that its antitheft device will 
also be installed with an audible and visual perimeter alarm system as 
standard equipment. Jaguar Land Rover stated that the perimeter alarm 
system can be armed with the Smart Key or programmed to be passively 
armed. The alarm will sound and the vehicle's exterior lights will 
flash if unauthorized entry is attempted by opening the hood, doors or 
luggage compartment. Jaguar Land Rover's submission is considered a 
complete petition as required by 49 CFR 543.7, in that it meets the 
general requirements contained in Sec.  543.5 and the specific content 
requirements of Sec.  543.6.
    The immobilizer device is automatically armed when the Smart Key is 
removed from the vehicle. Jaguar Land Rover stated that the Smart key 
is programmed and synchronized to the vehicle through the means of a 
unique identification key code for each key and a randomly generated 
secret code that is unique to each vehicle.
    Jaguar Land Rover stated that there will be three methods for 
unlocking the doors and starting the engine of the Discovery Sport 
vehicle line. The three methods of system operation will either be 
through the vehicle's automatic detection of the Smart Key, unlocking 
the vehicle with the Smart key unlock button or by using the emergency 
key blade. Jaguar Land Rover stated that automatic detection of the 
Smart key method occurs when authentication of the correct Smart Key 
via a low frequency to remote frequency challenge response sequence 
occurs. Specifically, when the driver approaches the vehicle and pulls 
the driver's door handle, the doors will unlock. When the driver

[[Page 30233]]

presses the ignition start button, a search begins to find and 
authenticate the Smart Key within the vehicle interior. If successful, 
this information is passed through a coded data transfer to the BCM via 
the RFA. Jaguar Land Rover stated that the BCM will then pass the valid 
key status to the instrument cluster, send the ``key valid'' message to 
the PCM, initiate a coded data transfer and authorize the engine to 
start. Method two of unlocking the vehicle with the Smart Key unlock 
button occurs when the driver approaches the vehicle, presses the Smart 
Key unlock button and unlocks the doors. Jaguar Land Rover stated that 
once the driver presses the ignition start button, the operation 
process is the same as method one. Method three involves using the 
emergency key blade. Jaguar Land Rover stated that if the Smart Key has 
a discharged or damaged battery, there is an emergency key blade that 
can be removed from the Smart Key and used to unlock the doors. Once 
the driver presses the ignition start button, a search begins to find 
and authenticate the Smart Key within the vehicle interior. If this is 
unsuccessful, the Smart Key needs to be docked in the lower steering 
column cowl. Once the Smart Key is placed in the correct position and 
the ignition start button is pressed again, the BCM and Smart key enter 
a coded data exchange via the immobilizer antenna unit. The BCM passes 
the valid key status to the instrument cluster, via the immobilizer 
antenna unit and then sends the ``key valid'' message to the PCM 
initiating a coded data transfer. If successful, the engine will start 
the vehicle.
    In addressing the specific content requirements of Sec.  543.6, 
Jaguar Land Rover provided information on the reliability and 
durability of its proposed device. To ensure reliability and durability 
of the device, Jaguar Land Rover conducted tests based on its own 
specified standards. Jaguar Land Rover provided a detailed list of the 
tests conducted (i.e., temperature and humidity cycling, high and low 
temperature cycling, mechanical shock, random vibration, thermal 
stress/shock tests, material resistance tests, dry heat, dust and fluid 
ingress tests). Jaguar Land Rover stated that it believes that its 
device is reliable and durable because it has complied with specified 
requirements for each test. Additionally, Jaguar Land Rover stated that 
the key recognition sequence includes in excess of a billion code 
combinations which include encrypted data that are secure against 
copying. Jaguar Land Rover also stated that the coded data transfer 
between modules use a unique secure identifier, a random number and a 
secure public algorithm. Furthermore, Jaguar Land Rover stated that 
since the Discovery Sport vehicle line will utilize push button vehicle 
ignition, it does not have a conventional mechanical key barrel. 
Therefore, there will be no means of forcibly bypassing the key-locking 
system.
    Jaguar Land Rover stated that the Discovery Sport is a new vehicle 
line and therefore no theft data is available. Jaguar Land Rover 
further stated that its immobilizer antitheft device is substantially 
similar to the antitheft device installed on the Jaguar F-Type, Jaguar 
XK, Jaguar XJ, Land Rover LR2 and Land Rover Range Rover Evoque vehicle 
lines and have all been granted parts-marking exemptions by the agency. 
Jaguar Land Rover stated that based on MY 2011 theft information 
published by NHTSA, the Jaguar Land Rover vehicles equipped with 
immobilizers had a combined theft rate of 0.79 per thousand vehicles, 
which is below NHTSA's overall theft rate of 0.99 thefts per thousand. 
The theft rates for the Jaguar XK, XJ and Land Rover LR2 are 0.8192, 
1.4025 and 0.9001, respectively. Theft rate data is not available for 
the Jaguar F-Type and Land Rover Evoque. Jaguar Land Rover believes 
these low theft rates demonstrate the effectiveness of the immobilizer 
device. Additionally, Jaguar Land Rover notes a Highway Loss Data 
Institute news release (July 19, 2000) showing approximately a 50% 
reduction in theft for vehicles installed with an immobilizer device.
    The agency agrees that the device is substantially similar to 
devices installed on other vehicle lines for which the agency has 
already granted exemptions
    Based on the supporting evidence submitted by Jaguar Land Rover on 
its device, the agency believes that the antitheft device for the 
Discovery Sport vehicle line is likely to be as effective in reducing 
and deterring motor vehicle theft as compliance with the parts-marking 
requirements of the Theft Prevention Standard (49 CFR part 541). The 
agency concludes that the device will provide the five types of 
performance listed in Sec.  543.6(a)(3): promoting activation; attract 
attention to the efforts of an unauthorized person to enter or move a 
vehicle by means other than a key; preventing defeat or circumvention 
of the device by unauthorized persons; preventing operation of the 
vehicle by unauthorized entrants; and ensuring the reliability and 
durability of the device.
    Pursuant to 49 U.S.C. 33106 and 49 CFR 543.7 (b), the agency grants 
a petition for exemption from the parts-marking requirements of Part 
541 either in whole or in part, if it determines that, based upon 
substantial evidence, the standard equipment antitheft device is likely 
to be as effective in reducing and deterring motor vehicle theft as 
compliance with the parts-marking requirements of Part 541. The agency 
finds that Jaguar Land Rover has provided adequate reasons for its 
belief that the antitheft device for the Jaguar Land Rover Discovery 
Sport vehicle line is likely to be as effective in reducing and 
deterring motor vehicle theft as compliance with the parts-marking 
requirements of the Theft Prevention Standard (49 CFR Part 541). This 
conclusion is based on the information Jaguar Land Rover submitted on 
its device.
    For the foregoing reasons, the agency hereby grants in full Jaguar 
Land Rover's petition for exemption for the Jaguar Land Rover Discovery 
Sport vehicle line from the parts-marking requirements of 49 CFR Part 
541. The agency notes that 49 CFR Part 541, Appendix A-1, identifies 
those lines that are exempted from the Theft Prevention Standard for a 
given model year. 49 CFR Part 543.7(f) requires NHTSA to publish a 
notice of its decision to grant or deny an exemption petition in the 
Federal Register. Advanced listing, including the release of future 
product nameplates, the beginning model year for which the petition is 
granted and a general description of the antitheft device is necessary 
in order to notify law enforcement agencies of new vehicle lines 
exempted from the parts-marking requirements of the Theft Prevention 
Standard.
    If Jaguar Land Rover decides not to use the exemption for this 
line, it must formally notify the agency. If such a decision is made, 
the line must be fully marked according to the requirements under 49 
CFR Parts 541.5 and 541.6 (marking of major component parts and 
replacement parts).
    NHTSA notes that if Jaguar Land Rover wishes in the future to 
modify the device on which this exemption is based, the company may 
have to submit a petition to modify the exemption. Part 543.7(d) states 
that a Part 543 exemption applies only to vehicles that belong to a 
line exempted under this part and equipped with the antitheft device on 
which the line's exemption is based. Further, Part 543.9(c)(2) provides 
for the submission of petitions ``to modify an exemption to permit the 
use of an antitheft device similar to but differing from the one 
specified in that exemption.''

[[Page 30234]]

    The agency wishes to minimize the administrative burden that Part 
543.9(c)(2) could place on exempted vehicle manufacturers and itself. 
The agency did not intend in drafting Part 543 to require the 
submission of a modification petition for every change to the 
components or design of an antitheft device. The significance of many 
such changes could be de minimis. Therefore, NHTSA suggests that if the 
manufacturer contemplates making any changes, the effects of which 
might be characterized as de minimis, it should consult the agency 
before preparing and submitting a petition to modify.

    Authority: 49 U.S.C. 33106; delegation of authority at 49 CFR 
1.50.

Claude H. Harris,
Acting Associate Administrator for Rulemaking.
[FR Doc. 2014-12130 Filed 5-23-14; 8:45 am]
BILLING CODE 4910-59-P