1. 1 Sector-specific Approaches to Conformity Assessment: Vehicle Emissions and Noise Standards Huichen Chien, MPH, Ph.D. Senior Specialist Environmental Protection Administration Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu (TPKM)

2. 2 Identification of Issues Technical Regulations and Harmonization Conformity Assessment Procedure Acceptance of Conformity Assessment Results Conclusions Outline

3. 3 TPKMJapanGermanyUKFranceUSA Motor vehicle density (vehicles/km 2 ) 530232147986224 RegionKaohsuing (1)Taipei (2)Taichung (3) Car density vehicles/km 2 2,7452,657 2,137 Motorcycle density vehicles/km 2 7,2633,7783,370 1.Highest vehicle density in the world, more than twice the density in Japan. 2004 data 2. High density in urban areas causes high pollution. Identification of Issues In WTO/TBT context, issues for TPKM include:

4. 4 3. Mobile-source emissions have become the major cause of air pollution in urban areas. CO makes up 97% of total, NOx 77%, and NMHC 34%. Pollutant TypeCONMHCNOx Total emissions (tons) 48,82343,66614,602 Mobile-source emissions (tons) 47,12214,88411,246 Percentage of mobile-source 97 34 77 Identification of Issues (Taipei City) 4. Respiratory illnesses associated with air pollution have continued to rise.

5. 5 5. Heavy reliance on imported technologies: Main motor vehicle technologies come from international manufacturers, as we lack domestic technical capacity Major motor vehicle technology providers include: Toyota, Hino, Nissan, Mitsubishi, Ford, Mazda, Honda, Suzuki, Skoda, Hyundai, Isuzu, etc. 6. The average age of our vehicles is higher than others. Therefore, we need to consider durability of vehicles in our emissions control to address potential deterioration. Considering economic, trade and environmental factors, we have adopted conformity assessment procedures to reduce barriers to trade, while implementing increasingly stringent standards. Identification of Issues

6. 6 Before our WTO entry in 2002, our imported vehicles originated mostly from the USA. Since US vehicle emissions management system were the most comprehensive, we mainly referred to the US system in setting our domestic management system. After WTO entry, we have accepted foreign standards and certifications in line with the spirit of the UNECE WP.29 We will notify WTO members of major regulatory revisions in accordance with TBT procedures. Development of regulations and standards Technical Regulations & Harmonization

7. 7 Progression of Vehicle Emissions / Noise Control 2007/01/01: 4th stage standards 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 Year 1991/01/01: 1st stage noise standards 1993/01/01: 2nd stage noise standards 2005/07/ 01: 3rd stage standard 1987: Control of diesel vehicle smoke 1993/07/01: CO, HC, NOx, PM added to emissions control 2004/01/01: 3rd stage standards 2006/10/01: 4th stage standards* 1999/07/01: 2nd stage standards 1987/07/01: 1st stage of emissions control of gasoline vehicles 1995/07/01: 2nd stage standards 1999/07/01: 3rd stage standards 2008/01/01: 4th stage standards Present Emissions ControlGasoline Diesel Noise Control * Pending circulation to WTO (1st Stage) Technical Regulations & Harmonization

8. 8 Increasingly stringent emissions standards and harmonization 1. From 1988, Stage I and II, US regulations and standards were similar to ours. 2. From Stage III (diesel) Stage IV (gasoline), US and EC standards were similar to ours. Gasoline Vehicles Stage 0.115 Stage I 4.69 Stage 0.875 Stage 0.405 US Tier II Bin 7 & Euro IV US94 Tier I 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 19881990199219941996199820002002200420062008 HC+NOx (g/bhp-hr) >3500kg <2500kg Diesel Vehicles 7.3 Stage 1.9 6.3 Stage III 0.78 2.4 0.1 Euro III US Tier II Bin 5 & Euro IV Stage Technical Regulations & Harmonization

9. 9 Increasingly stringent noise standards and harmonization 1. From 1991, Stage I and II noise standards were similar to Japan. 2. From Stage III, standards and testing methodologies were similar to UN ECE and EC. Stage Stage II Stage Limit (dB(A)) 80 78 76 74 72 82 84 86 88 1990199219941996199820002002200420062008 Sedan, Wagon Truck, Van < 3.5 t Truck, Bus >3.5 t & < 150 kW Truck, Bus >3.5 t & 150 kW Stage Stage II Stage Limit (dB(A)) 102 100 98 96 94 104 106 108 2010 19901992199419961998200020022004200620082010 Acceleration Noise Stationary Noise ECE R51-02 equivalent 86 81 78 83 107 103 99 96 80 74 78 77 98 97 76 79 82 Technical Regulations & Harmonization

10. 10 Emissions / noise control within the life cycle of motor vehicles End of life Warranty period ProductionDesign phase New vehicle Type approval On line check, Quality control New Vehicle Random Inspection Inspection/Maintenance Plan Recall examination and correction Vehicle emission s standards Vehicle noise standards In-use vehicle Sale Standards Conformity Assessment Procedure Ensure that vehicles conform with standards

11. 11 Vehicle Emissions / Noise Conformity Assessment Apply for Type Approval New vehicle applicant Issue Certification Result verdict Document Review qualified Imported vehicle MVD Register License Verification & Authorization Vehicle selection unqualified Complete improvement measures unqualified, reject qualified Off line inspection under MOTC authorization Domestic vehicle Test: Driving mode, Idle mode, Evaporation, durability; Acceleration, Stationary noise, etc. Conformity Assessment Procedure Foreign certification (EC, USA) 1~ 5 days, NT$10,000~480,000 10~20 days, Noise: Free, Emission: NT$3,300 10 days, NT$ 50 1 days, NT$1,200 Cost depends on manufacturer

12. 12 Random select of new vehicle representation check EPA decides sample size (1) Test: Driving mode, Idle mode, Evaporation; Acceleration, Stationary noise. not representative representative Test result verdict (2) Finish Manufacturer decides sample size qualified Withdraw Certification Perform recall correction process (for exhaust emission only) Random emissions / noise testing of new vehicles Conformity Assessment Procedure 1st or 2nd Test (2) unqualified 1st test 2nd test EPA decides sample size (1) Emission test result: Single vehicle > 1.5*Standard or average > Standard No (and/or noise) Yes 4 weeks, fee is the same as type approval

13. 13 Quality Control by Manufacturers abnormal qualified Explain and correct Submit to competentauthority Confirmation Vehicleselection Simple Adjustment normal Test: Driving mode, Idlemode,Evaporation;Acceleration,Stationary noise. Random sampling: Gasoline - 1 for every 200 vehicles Heavy diesel - 1 for every 500 vehicles Light diesel - 1 for every 200 vehicles Noise for <3.5 ton - 1 for every 500 vehicles Noise for >3.5 ton - 1 for every 100 vehicles unqualified Fewer random tests for those with good quality control (for exhaust emission only) abnormal normal Conformity Assessment Procedure Cost and fee depends on manufacturer itself

14. 14 In accordance with the objectives and requirements of the TBT agreement for acceptance of conformity assessment results, we: Accept European emissions certification and 98/69/EC directive From January 1, 2004, applicants with EC certification may apply for domestic certification of light duty vehicle with diesel engine. From October 1, 2006, applicants with EC certification may apply for domestic certification of heavy duty truck with diesel engine. (pending circulation to WTO) From January 1, 2008, applicants with EC certification may apply for domestic certification of light duty vehicle with gasoline engine. Accept European noise certification with UN ECE R51-02 or 70/157/EC directive From November 5, 2003, applicants with EC certification may apply for domestic certification Vehicles imported from other countries and holding EC and US certification are also accepted Acceptance of conformity assessment results

15. 15 Imported value of vehicles (excluding rail vehicles) and components from various regions of the world Conclusions Imported vehicle value has increased since our entry into WTO

16. 16 Given our high vehicle density, as well as considering environmental protection, public health and removal of non-tariff trade barriers, we are harmonizing our vehicle control standards, and will place more emphasis on assessing cost-effectiveness in the future, in order to achieve more effective management. With harmonization of regulations and standards, our conformity assessment of vehicle emissions and noise is consistent with international practices. As a member of WTO, we will continue to meet our obligation to reduce non-tariff trade barriers, and our commitments under WTO and regulatory harmonization have been achieved on schedule. Conclusions

17. 17 Thank you