Even As China Cracks Down on Food Safety, Recall is Issued for Chinese-Made Tires

From the New York Times:

By DAVID BARBOZA

SHANGHAI, June 27 — After weeks of insisting that food here is largely safe, regulators in China said Tuesday that they had recently closed 180 food plants and that inspectors had uncovered more than 23,000 food safety violations.

The nationwide crackdown, which began in December, also found that many small food makers were using industrial chemicals, dyes and other illegal ingredients in making a range of food products, everything from candy to seafood.

(T)he government has moved aggressively in recent months to enforce the nation’s food safety regulations and to crack down on fake and counterfeit foods.

But Tuesday’s announcement, which appeared on the web site of the country’s top quality watchdog, the General Administration of Quality Supervision, Inspection and Quarantine, has added fuel to concerns about rampant fraud in the food industry here.

Regulators said 33,000 law enforcement officials combed the nation and turned up illegal food making dens, counterfeit bottled water, fake soy sauce, banned food additives and illegal meat processing plants.

“These are not isolated cases,” Han Yi, director of the administration’s quality control and inspection department told the state-run media.

China Daily, the nation’s English language newspaper, said industrial chemicals, including dyes, mineral oils, paraffin wax, formaldehyde and malachite green, had been found in everything from candy, pickles and biscuits to seafood.

Regulators said they also learned that sodium hydroxide and hydrochloric acid were being used to process shark fin and ox tendon.

These industrial chemicals are often toxic or corrosive and can be used in everything from drain cleaners, detergent and fertilizer to surfboard wax.

These types of findings have become all too common in China. For instance, in 2005, officials in south China found a company repackaging food waste and shipping it to 10 other regions. And just last week, officials said a company in Anhui province, not far from Shanghai, was selling a two-year-old rice dumpling mix as fresh, according to the state-controlled media.

Experts here say the problem is that the country’s food regulations are not being enforced and small businessmen feel they need to go to extraordinary lengths to make a profit.

Read the entire article on the New York Times.

In other news of substandard products: a New Jersey company announced a recall of hearly half a million tires made in China. But Foreign Tire Sales says it can't afford to pay for the recall and tire replacements, so it's asking the federal government for help.

The defective tires, used on light trucks and SUV’s, have been sold under the names of Westlake, Telluride, Compass and YKS. The problem: tire separation.

Lawyers say these tires are responsible for at least one fatal accident last year .

(Listen to Adam Davison's report broadcast on NPR's Morning Edition today.)

This tire recall follows several other recalls of Chinese-made products recently, including toothpaste containing a poisonous chemical, contaminated pet food, and Thomas the Train Engine toys decorated with lead paint.

The New York Times's David Barboza also wrote about the defective tires, and reports:

"They were supposed to include a gum strip between the steel bands that prevented them from separating. Mr. Lavigne said the gum strip cost less than a dollar a tire to install.

"But in October 2005, officials at Foreign Tire Sales became suspicious that the tires were made without the strips.

"Nearly a year later, in September 2006, Hangzhou Zhongce [the Chinese manufacturer]officials acknowledged that they had “unilaterally” decided to omit the gum strip, according to a report by Foreign Tire Sales for federal regulators."

You can read the whole article here.

RELATED: John Frisbie, president of the U.S.-China Business Council, says Chinese companies are not adhering to international safety standards. Frisbie talked about whether recent bad news has changed American business interests in China on NPR's Morning Edition today.

Listen to the interview here .

More Counterfeiting Tales from China

Y'all know those fake Prada and Fendi goods are from China, right? Those Louis Vuitton and Gucci bags and purses, those Rolexes sold off street tables in many big cities - all from the Middle Kingdom, no?

Counterfeiting is big business there. But designer goods are just the tip of the iceberg. Think pirated DVDs and CD - all the way up to laptops and cellphones.

In these cases, manufacturers and those who hold the patents are the main losers. But Chinese counterfeiting has expanded into areas that cause harm, and even death. Fake brake pads that fail in an emergency. Fake formula with barely any protein - babies fed this stuff were seriously malnourished, and some died. (See this earlier post) Cheap diethylene glycol sold under the guise of glycerin syrup for use in cough syrup, fever medication, injectable drugs - these caused permanent damage to some people and killed others. (Read this earlier post).

At the heart of this massive problem is this question: why are these fraudulent practices so widespread in China, and why aren't their authorities getting it under control?

The New York Times tackles that issue in the article, When Fakery Turns Fatal.

According to the story, "cutting corners or producing fake goods is not just a legacy of China’s initial rush toward the free market three decades ago but still woven into the fabric of the nation’s thriving industrial economy. It is driven by entrepreneurs who are taking advantage of a weak legal system, lax regulations and a business culture where bribery and corruption are rampant."

After living in deprivation under decades of Communism, are some Chinese willing to go to any lengths to turn a bigger profit? Seems that way, doesn't it?

"For decades," writes David Barboza, "small entrepreneurs have started out counterfeiting in emerging industries in China, seeking an early advantage and their first pot of gold.

"Often, they try to get around regulations, or simply believe small-time cheating that involves adding cheap substitutes or low-grade ingredients will not cause much harm.

Barboza notes:

"Dozens of Chinese cities have risen to prominence over the last two decades by first specializing in fake goods, like Wenzhou, which was once known for selling counterfeit Procter & Gamble products, and Kaihua in Zhejiang province, which specialized in fake Philips light bulbs."

One of those counterfeiting capitals is Wudi, home of the company that sold melamine-contaminated wheat gluten to American pet food manufacturers. Some pets fed with those products were sickened, and some died.

Did the buyers of the contaminated wheat gluten and other products visit the manufacturing plant to observe production practices and note their standards? No - and if they had tried, they might have found ramshackle outbuildings or shuttered facilities instead of the modern factories pictured on these companies' websites.

As Barboza says, corruption - at many levels of Chinese government - only serves to make the deception easier.

The wheat gluten company, Binzhou Futian, "shared a building with the county government’s cereal and grains bureau, an indication of its close ties to the government. "Futian didn’t have any actual factory here,” said a guard who works at the Binzhou headquarters. “They hung a banner here because they wanted to look good in front of visitors. They had countless suppliers from the countryside.”

Wow.

Just how far can this fraud go?

"Last year....pirates were caught faking an entire company, setting up a “branch” of the NEC Corporation of Japan, including 18 factories and warehouses in China and Taiwan."

It's a scary thought. These guys could easily fake a "Made in the USA" label if they wish, if they haven't done it already.

Here again, is the NY Times story.

NPR's Louisa Lim reported last year that Chinese authorities tried to crack down on counterfeiter, but that failed to stem the tide of knockoffs.

Read my post, Is ANYTHING from China Safe These Days? (And how do we know what's from China, anyway?)

Want to flaunt a purse with a Coach logo at a fraction of the price? Here's a story on the hidden costs of buying counterfeit goods.