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American Lifan Fined $630,000 by EPA, Pays Additional Bond for Future Vehicles

Wed, 02 Apr 2014

Chinese motorcycle importer American Lifan agreed to pay a $630,000 civil penalty for the illegal import and sale of 28,000 vehicles that did not comply with federal emission standards.

According to the Environmental Protection Agency, Dallas-based American Lifan imported and sold 28,000 streetbikes and scooters, recreational vehicles and engines produced in China but were not compliant with the Clean Air Act.

American Lifan also agreed to post a bond worth between $300,000 and $500,000 to cover any potential penalties for future models imported though the 2016 model year. Yes, that’s right, the company agreed to pay up to half a million dollars because future models may not meet pollution standards. The EPA says this is the first time such a bond has been secured under the Clean Air Act.

The EPA alleges American Lifan sold more than 6,700 vehicles and engines that lacked proper emission certification, and failed to provide customers with full emissions warranties as required by the Clean Air Act. The EPA also learned American Lifan obtained certificates of conformity for numerous vehicles without conducting emissions tests. As a result, the EPA voided 45 certificates which affects more than 21,000 additional vehicles from model years 2006-2011.

“Mobile sources of pollution can threaten the clean air that we all depend on for active, healthy lives,” says Cynthia Giles, assistant administrator of the EPA’s Office of Enforcement and Compliance Assurance. “EPA will continue to hold importers of foreign-made vehicles accountable for meeting U.S. emission limits put in place to protect Americans from harmful air pollution.”

[Source: EPA]

By Dennis Chung