[Federal Register Volume 84, Number 56 (Friday, March 22, 2019)]
[Notices]
[Pages 10893-10894]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-05448]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration


Petition for Exemption From the Federal Motor Vehicle Theft 
Prevention Standard; Nissan North America, Inc

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

ACTION: Grant of petition for exemption.

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SUMMARY: This document grants in full Nissan North America, Inc.'s, 
(Nissan) petition for exemption of the model year 2020 Versa vehicle 
line from the Federal Motor 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 the Theft 
Prevention Standard.

DATES: The exemption granted by this notice is effective beginning with 
the 2020 model year (MY).

FOR FURTHER INFORMATION CONTACT: Ms. Carlita Ballard, Office of 
International Policy, Fuel Economy and Consumer Programs, National 
Highway Traffic Safety Administration, 1200 New Jersey Avenue SE, West 
Building, Room W43-439, Washington, DC 20590. Ms. Ballard's telephone 
phone number is 202-366-5222.

SUPPLEMENTARY INFORMATION: In a petition dated October 1, 2018, Nissan 
requested an exemption from the parts-marking requirements of the Theft 
Prevention Standard for the Versa vehicle line beginning with MY 2020. 
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 part 543.5(a), a manufacturer may petition NHTSA to 
grant an exemption for one vehicle line per model year. In its 
petition, Nissan provided a detailed description and diagram of the 
identity, design, and location of components of the antitheft device 
for the Versa vehicle line. Nissan stated the MY 2020 Versa vehicle 
line will be installed with a passive, electronic engine immobilizer 
antitheft device as standard equipment. Key components of the antitheft 
device will include an engine immobilizer, engine control module (ECM), 
body control module (BCM), security indicator light, immobilizer 
antenna, Key FOB, and a specially-designed key with a microchip. Nissan 
stated its vehicle's security indicator light will be a warning to a 
potential thief and an added deterrence to a thief's decision to enter 
the vehicle. However, Nissan will not provide any visible or audible 
indication of unauthorized vehicle entry (i.e., flashing lights and 
horn alarm) on its Versa vehicle line.
    Nissan'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.
    In addressing the specific content requirements of Sec.  543.6, 
Nissan provided information on the reliability and durability of its 
proposed device. Nissan stated its antitheft device is tested for 
specific parameters to ensure its reliability and durability. Nissan 
provided a detailed list of tests conducted and believes the device is 
reliable and durable since the device complied with its specified 
requirements for each test. Nissan further stated its immobilizer 
device satisfies the European Directive ECE R116, including 
requirements for tamper resistance. Nissan also stated all control 
units for the device are located inside the vehicle, providing further 
protection from unauthorized accessibility of the device from outside 
the vehicle.
    Nissan stated activation of its immobilizer device occurs 
automatically when the ignition switch is turned to the ``OFF'' 
position, which then causes the security indicator light to flash 
notifying the operator that the immobilizer device is activated. Nissan 
stated the immobilizer device prevents normal operation of the vehicle 
without using a specially-designed microchip key with a pre-registered 
``Key-ID.'' Nissan also stated that, when the brake

[[Page 10894]]

and clutch is on and the key FOB is near the engine start switch, the 
Key-ID is scanned via the immobilizer antenna. The microchip in the key 
transmits the Key-ID to the BCM, beginning an encrypted communication 
process. If the Key-ID and encrypted code are correct, the ECM will 
allow the engine to keep running and the driver to operate the vehicle. 
If the Key-ID and encrypted code are not correct, the ECM will cause 
the engine to shut down.
    Nissan stated the proposed device is functionally equivalent to the 
antitheft device installed on the MY 2011 Nissan Cube vehicle line, 
which was granted a parts-marking exemption by the agency on April 14, 
2010 (75 FR 19458).
    Nissan provided data on the effectiveness of the antitheft device 
installed on its Versa vehicle line in support of the belief its 
antitheft device will be highly effective in reducing and deterring 
theft. Nissan referenced the National Insurance Crime Bureau's data, 
which it stated showed a 70% reduction in theft when comparing MY 1997 
Ford Mustangs (with a standard immobilizer) to MY 1995 Ford Mustangs 
(without an immobilizer). Nissan also referenced the Highway Loss Data 
Institute's data, which reported BMW vehicles experienced theft loss 
reductions resulting in a 73% decrease in relative claim frequency and 
a 78% lower average loss payment per claim for vehicles equipped with 
an immobilizer. Additionally, Nissan stated theft rates for its 
Pathfinder vehicle line experienced reductions from MY 2000 to 2001 and 
subsequent years with implementation of an engine immobilizer device as 
standard equipment. Specifically, Nissan stated the agency's theft rate 
data for MY's 2001 through 2006 reported theft rates of 1.9146, 1.8011, 
1.1482, 0.8102, 1.7298, and 1.3474 respectively for the Nissan 
Pathfinder.
    Nissan compared its device to other similar devices previously 
granted exemptions by the agency. Specifically, it referenced the 
agency's grant of full exemptions to General Motors Corporation for its 
Buick Riviera and Oldsmobile Aurora vehicle lines (58 FR 44872, August 
25, 1993) and its Cadillac Seville vehicle line (62 FR 20058, April 24, 
1997) from the parts-marking requirements of the theft prevention 
standard. Nissan stated it believes since its device is functionally 
equivalent to other comparable manufacturer's devices that have been 
granted parts-marking exemptions by the agency, along with the evidence 
of reduced theft rates for vehicle lines equipped with similar devices 
and advanced technology of transponder electronic security, the Nissan 
immobilizer device will have the potential to achieve the level of 
effectiveness equivalent to those vehicles already exempted by the 
agency. The agency agrees 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 Nissan, the agency 
believes the antitheft device for the Versa 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 the device will 
provide four of the five types of performance listed in Sec.  
543.6(a)(3): Promoting activation; 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 Nissan has provided adequate reasons for its belief the antitheft 
device for the Versa 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 Nissan provided 
about its device.
    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) contains publication 
requirements incident to the disposition of all Part 543 petitions. 
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 Nissan 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 if Nissan 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.''
    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 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.
    For the foregoing reasons, the agency hereby grants in full 
Nissan's petition for exemption for the model year 2020 Nissan Versa 
vehicle line from the parts-marking requirements of 49 CFR part 541.

    Issued in Washington, DC, under authority delegated in 49 CFR 
part 1.95 and 501.8.
Raymond R. Posten,
Associate Administrator for Rulemaking.
[FR Doc. 2019-05448 Filed 3-21-19; 8:45 am]
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