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Japanese electronic giant Panasonic is facing the challenge of a large-scale recall in China. The national quality regulator says Panasonic will recall more than 360 thousand refrigerators, due to faulty temperature control components. It's the country's the largest-ever recall in home appliances.
The recall affects 29 models of refrigerators, manufactured between March 2007 and March 2009. Panasonic says certain components can cause abnormal temperatures in freezers under high temperatures or high humidity.
The company says it's ordered 360 thousand freezer components for repairs. And the company will provide door-to-door inspection and repair services on faulty units.
Xu Dongsheng, Secretary General of China Household Electrical Appliances Assoc. said "The recall may affect Panasonic's sales and image. But disclosing the problem is much better than concealing it."
Panasonic's recall is the first after China's quality watchdog released its draft regulation on home appliances recalls in July. Currently, recalls are not compulsory. Although some say Panasonic's recall is a positive step, lawyers say the company is simply fulfilling its legal obligation.
Qiu Baochang, Lawyer of China Consumers' Association said "China has laws stipulating companies should inform consumers of any faulty commodities and take positive actions to solve the issue. So we think Panasonic's recall is simply in accordance with the law."
Experts say once the recall regulation is finalized and issued, a new round of recalls are expected on the home appliances market.