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Enforcement

Chongqing Longting Power Equipment Co. - Ltd. - Longting USA - LLC - Loncin (USA) Inc. Settlement

(Washington, DC - January 11, 2012) The U.S. Environmental Protection Agency (EPA) announced a settlement with recreational vehicle manufacturers, Loncin (USA), Inc., Longting USA LLC, and Chongqing Longting Power Equipment Co., Ltd., to resolve violations of the Clean Air Act (CAA) related to the importation of 7,115 uncertified recreational vehicles into the United States. Engines that are not certified may be operating without proper emissions controls, which can emit excess carbon monoxide and nitrogen oxides and cause respiratory illnesses, aggravate asthma and contribute to the formation of ground level ozone, or smog.

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Overview

The settlement agreement in this matter resolves an administrative enforcement action for causing the importation of 7,115 uncertified recreational vehicles in violation of the Clean Air Act (CAA) and related recordkeeping violations.

Chongqing Longting Power Equipment Co., Ltd., Longting USA, LLC, Loncin (USA) Inc. (Loncin), and their various affiliates (collectively, the Respondents) manufacture recreational vehicles and engines. Based in California, Longting USA, LLC and Loncin hold the Certificates of Conformity (COCs) necessary to import recreational vehicles into the U.S. In 2008, Chongqing Longting Power Equipment Co., Ltd. alone ranked as the ninth largest Chinese manufacturer of recreational vehicles imported into the U.S. (the total value of goods imported was roughly $3 million).  

After discovering that MotorScience, Inc.—a certification services consulting firm— submitted false and incomplete information to obtain COCs for some of its clients, including Loncin, EPA voided the COCs held by the companies. These certificates permitted the importation and sale of a total of more than 24,000 non-compliant recreational vehicles in the U.S., of which more than 7,115 were imported under certificates held by Loncin and its affiliates.

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Violations

The Respondents violated sections 203(a) and 213 of the CAA, 42 U.S.C. §§ 7522 and 7547, and corresponding provisions of 40 C.F.R. Part 1068. 

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Injunctive Relief

To mitigate excess emissions from these uncertified vehicles, the Respondents are required to complete an emissions mitigation project. This project requires a donation of $10,000 to a state, local, or tribal agency or non-profit organization that is implementing a wood-burning appliance change-out or retrofit project in the U.S. The entity receiving the donation must provide incentives (e.g., rebates for EPA-certified wood stoves) to homeowners to replace or upgrade inefficient, higher polluting wood-burning appliances. Lastly, the number of replacements or retrofits must be sufficient to reduce the projected emission of at least 26 tons of hydrocarbons plus oxides of nitrogen (HC+NOx) and ten tons of carbon monoxide (CO).

The Respondents must implement a Vehicle and Engine Compliance Plan at least 90 days before the U.S.-directed production of any recreational vehicle or motorcycle.

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Health and Environmental Effects

Engines that are not certified may be operating without proper emissions controls, and can emit excess HC+NOx and CO and cause respiratory illnesses, aggravate asthma and contribute to the formation of ground level ozone, or smog.

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Civil Penalty

The Respondents will pay a civil penalty of $680,000. 

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For more information, contact:

Christopher A. Thompson
Attorney-Advisor
U.S. EPA
1200 Pennsylvania Ave. NW
Washington, DC 20460
(202) 564-3313
thompson.christopher@epa.gov

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