    [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