Despite repeated assurances that there is no problem with products in the Chinese market, the aftershocks of the Samsung Galaxy Note 7 "explosion door" incident are still coming.
On September 14, the General Administration of Quality Supervision, Inspection and Quarantine of China announced on its website that after talks between the General Administration of Quality Supervision, Inspection and Quarantine of the People’s Republic of China and Samsung (China) Investment Co., Ltd., Samsung filed a recall plan with the General Administration of Quality Supervision, Inspection and Quarantine of the People’s Republic of China and will recall 1,858 affected Galaxy Note 7 mobile phones in mainland China starting from September 14.
This part of the product is a test experience phone provided through Samsung’s official website Galaxy Community and other channels before its official sale on September 1, 2016, through old-to-new methods, etc.
According to Jiemian News reporters, the evaluation machine officially provided by Samsung to domestic media is also included in this batch of products.
The announcement stated that the digital mobile phone batteries within the scope of this recall had a short circuit when the anode and cathode isolation films were partially thinned, and the insulating tape did not completely cover the plate coating, causing the battery to generate abnormal heat. In extreme cases, it may burn, thus posing safety risks.
For mobile phones within the scope of the recall, Samsung will replace customers with a new mobile phone of the same model that meets relevant requirements for free to eliminate safety hazards. Samsung will also announce the recall plan on its official website from now on, and a dedicated person will notify customers one by one for replacement.
The relevant person in charge of Samsung told Jiemian News that this recall plan was proposed by Samsung to the Quality Inspection Bureau on its own initiative, and because these Galaxy Note 7 mobile phones are test machines and are not included in the scope of public sale, the National Bank version is still not affected because it uses a different battery supplier and is not within the scope of the recall.
But even so, the precarious consumer confidence caused by the "Explosion Door" incident may be further hit, because many consumers have previously questioned whether there is a "double standard" issue in Samsung's recall policy.
The "Explosion Gate" incident of Galaxy Note 7 originated on September 1. At that time, due to 35 burning or explosion accidents of Galaxy Note 7 worldwide, the proportion of affected products was 24 parts per million, far exceeding the normal defective rate of one part per million. Therefore, Samsung Electronics announced a global recall of 2.5 million Galaxy Note 7 problem models and suspended sales of the flagship machine in 10 countries and regions.
However, Samsung later issued an announcement to Chinese consumers emphasizing that due to the use of different battery suppliers, the national version of Note 7 sold in the Chinese market was not included in the recall, so consumers can continue to buy with confidence.
However, in order to "prevent related safety hazards and derivative risks", HNA Group issued an emergency notice on September 13, prohibiting employees from bringing Samsung Galaxy Note 7 mobile phones on board, and also requiring passengers not to use Galaxy Note 7 on the plane, charge it or check it in.
Currently, Hainan Airlines is the only mainland airline group that prohibits the use of Galaxy Note 7 on aircraft. The Civil Aviation Administration of China has not yet issued relevant regulations. However, as the incident unfolds, other airlines such as Air China, China Southern Airlines, and China Eastern Airlines may also have the opportunity to follow suit.
Previously, due to the risk of explosion of Galaxy Note 7, many foreign air transport regulatory agencies and airlines classified Samsung's new product as dangerous goods. On September 8, the Federal Aviation Administration (FAA) announced that the Galaxy Note 7 was classified as dangerous goods and strongly recommended that passengers not use, charge or check the phone on the plane. Subsequently, the European Aviation Safety Agency (EASA) also classified the Galaxy Note 7 as dangerous goods.
Since Samsung announced its massive recall plan, more than $10 billion has been wiped out of its market value. Warnings from airlines and U.S. consumer safety regulators have further undermined consumer confidence in Samsung mobile phones, and some consumers have turned to other high-end mobile phone models such as iPhones.
Samsung’s replacement program has been launched in many countries and regions and will be expanded to South Korea, Australia, Taiwan, the United Arab Emirates and Mexico later this month. On September 13, Samsung announced that it would withdraw the Galaxy Note 7 TV advertisement in South Korea and apologized for the recall in mainstream newspapers.
The financial burden caused by recycling is estimated to be around $1 billion, analysts said.
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