2022 Liugong Overseas Warranty Administration General Version) - V2-Final Updated Oct 22

Liugong Overseas Warranty
Administration Manual
(2022.V2)
Liugong authorized service dealer

Overseas region
Date of Issue: Oct 01th, 2022
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Contents
Preface............................................................................................................................................................... 8
1About This Manual........................................................................................................................................ 8
2Warranty Definitions..................................................................................................................................... 9
2.1 What is Warranty....................................................................................................................................................... 9
2.2 Can Warranty be voided?...........................................................................................................................................9
3Warranty Management Procedures............................................................................................................. 9

3.1 Warranty Management Principle............................................................................................................................. 10
3.2 Responsibility of Administering Warranty.............................................................................................................. 10
3.3 Pre-authorization......................................................................................................................................................12
3.4 Parts....................................................................................................................................................................... 13
3.5 Labor........................................................................................................................................................................ 13
3.6 Mileage.................................................................................................................................................................... 14
3.7 Other Claimables..................................................................................................................................................... 15
3.8 Retaining Failure Warranty Parts.............................................................................................................................15
4Product Warranty Policy.............................................................................................................................15

4.1 Warranty Start Date................................................................................................................................................. 15
4.2 Machine Delivery and Registration.........................................................................................................................16
4.3 Current Warranties................................................................................................................................................. 17
4.4 Standard Warranty Policy........................................................................................................................................ 17
4.5 Marketing of product extend Warranty....................................................................................................................19
4.6 Exclusion in This Warranty..................................................................................................................................... 21
4.7 Engine Warranty Policy (refer to Annex1).............................................................................................................. 22
4.8 Parts Warranty Policy.............................................................................................................................................. 22
5 Warranty Claim.......................................................................................................................................... 22
5.1 Definition of Claim types........................................................................................................................................ 22
5.2 Warranty Liability of Product Serial Number......................................................................................................... 23
5.3 Warranty Reimbursement Standard.........................................................................................................................23
5.4 Procedure to Revise Warranty Rates....................................................................................................................... 25
5.5 Claim Submission Limits........................................................................................................................................ 25

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5.6 Document requirements of various claims.............................................................................................................. 26
5.7 Pre-sale Claim..........................................................................................................................................................30
5.8 Campaign Service.................................................................................................................................................... 30
5.9 Major Accident Report............................................................................................................................................ 31
5.10 Goodwill Warranty...................................................................................................................................................32
5.11 Physical Delivery of Warranty Parts........................................................................................................................33
6Warranty Payment.......................................................................................................................................34
6.1 Payment Clause........................................................................................................................................................34
6.2 Payment Materials................................................................................................................................................... 34
6.3 Payment Time.......................................................................................................................................................... 34
7 Warranty Audit Policy...............................................................................................................................35
7.1 Warranty Audit Mode.............................................................................................................................................. 35
7.2 Purpose of Warranty Audit...................................................................................................................................... 35
7.3 Warranty Audit Rules...............................................................................................................................................36
7.4 Warranty Audit Responsibilities.............................................................................................................................. 37
7.5 Audit Candidate Selection Process..........................................................................................................................38
7.6 Preparation of On-site Dealer Warranty Audit........................................................................................................ 39
7.7 Service Dealer On-site Warranty Audit Process......................................................................................................39
7.8 Claim Supporting Information & Audit Requirement Documentation...................................................................41
7.9 LIUGONG Audit Scoring System...........................................................................................................................44
Annex1: Engine Warranty Policy................................................................................................................. 45

1. General Warranty Policy for Engines.............................................................................................................................45
2. Cummins Engine warranty............................................................................................................................................. 45
3. Yuchai Engine Warranty................................................................................................................................................. 48
4. Yanmar Engine Warranty................................................................................................................................................49
5. Perkins Engine Warranty................................................................................................................................................ 51
6. Weichai Engine Warranty.............................................................................................................................................. 52
7. Xinchai, Nissan, Mitsubishi Engine WarrantyPolicy................................................................................................51
8. Shangchai Engine Warranty............................................................................................................................................52
9. Isuzu Engine Warranty....................................................................................................................................................52
10. Other Engine Warranty................................................................................................................................................. 53

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Annex 2: Warranty Business Document...................................................................................................... 53
1 Limited Warranty Certificate................................................................................................................................... 53
2 Labor Code Application Template...........................................................................................................................54
3 Warranty Registration Form.................................................................................................................................... 56
4 Warranty Claim Form................................................................................................................................................. 58
5 Quality Report Template.............................................................................................................................................61
6. Major Accident Report.............................................................................................................................................. 64
7. Service Order Template............................................................................................................................................... 65
8 DMS user ID & Warranty rate Application form for dealer........................................................................................ 67
9 Parts Outbound Order................................................................................................................................................... 69
10 Liugong Service Bill...................................................................................................................................................69
Author Aftermarket Management Deportment of Liugong Overseas Business Center

Editor Li Peiling
Approval Liang Yongjie
Issue by Li Dongchun
2022 version content-V2 2022 version content
1 1. About This Manual
Applicable Product Group Added:Sugarcane HarvesterApplicable product of this manual includes:

Wheel Loader, Excavator, Roller, Paver,
Applicable product of this manual includes: Wheel Motor Grader, Bulldozer, Backhoe Loader,
Loader, Excavator, Roller, Paver, Motor Grader, Skid-steer Loader, Off-road wide-body
Bulldozer, Backhoe Loader, Skid-steer Loader, dumper, Cranes, Concrete Machinery.
Off-road wide-body dumper, Cranes, Concrete
Machinery,Sugarcane Harvester.
2
3.2.2 Responsibility of Service Dealer
Added new arrival inspection and inventory inspection

terms: None
 Execute the new machine arrival inspection, record

the inspection situation, and output the new
machine arrival inspection report. In case of any
missing or damage, feedback shall be made
according to the “Equipment Arrival Inspection
Policy”.
 Be responsible for the Inventory management,
undertake the responsibility and repair of
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non-product quality problems during the stock
period. The management methods are as follows:
1) After the machine is put into storage, the service

dealer will inspect the machine in stock every month
(30 days) according to the content of the “Inventory
Checklist” until the machine is sold.
2) Inventory inspection reminder: The DMS system

automatically initiates the first stock inspection
reminder in 20th day after the machine is put into
storage; for the machines sold within 20 days after
the machine is put into storage, the DMS system will
no longer initiate an inventory inspection reminder,
and the service dealer will not have to do inventory
inspection.
3) Subsequent inventory inspection reminders are

initiated every month (30 days), and service dealer
can dispatch workers or enter inventory inspection
results according to the service reminders, or record
and manage them in other ways.
4) Warranty registration of machines in stock for

more than one year, lack of inventory inspection
records will lose warranty qualification.
5) For pre-sales claim and lack of inventory

inspection records, LiuGong has the right to refuse
warranty payment.
3 3.4.1 3.4.1
In case of applying for compensation of part costs to In case of applying for compensation of part
LIUGONG, parts must be purchased from LIUGONG costs to LIUGONG, parts must be purchased
authorized Parts distribution center. If the purchased from LIUGONG authorized Parts distribution
parts are not from LIUGONG or purchased from center; If parts purchased do not belong to
other channels due to customer’s emergency needs for LIUGONG or parts are purchased from other
complete machine maintenance and other special channels due to emergency needs of the
reasons, it must apply for approval in writing to
customer for complete machine maintenance
LIUGONG regional service manager or above level,
and other special reasons, it must apply in
otherwise LIUGONG will not compensate for it.
writing to the regional service manager or
Unless the price approved by LiuGong in advance. In
principle, the reimbursement for locally purchased parts above level of LIUGONG for approval,
cannot be higher than the LIUGONG parts.If the otherwise LIUGONG will not compensate for
amount of local parts claimed exceeds $100, local parts it.Claims for parts purchased through
purchase invoice is required. non-LiuGong channels must provide an email
or report of prior application consent, and if
the amount of local parts claimed exceeds
$100, local parts purchase invoice is required.
4 3.6 Mileage 3.6 Mileage
4) Stock machine is not covered for mileage cost; 4) Stock machine is not covered for mileage
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(Except Demo) cost;
6) Major quality issues (limited to replacements or 6) Major quality issues (limited to

overhauls of pre-authorized core components): Up replacements or overhauls of
to two round-trip mileage cost can be claimed for pre-authorized core components): Up to
one failure, less than 600 KM; two round-trip mileage cost can be
claimed for one failure,
Core components include: Transmissions, Driver
axle, Swing motor& reducer, Engine, Travel motor
& reducer, Control valve, Cab assembly, Boom,
Frame, Attachment.
5
3.8 Retaining Failure Warranty Parts 3.8 Retaining Failure Warranty Parts
3.8.1 The service provider must retain the faulty parts, 3.8.1 Service dealer must retain the failure
the retention period is at least 6 months after the claim parts for a minimum of six months from the
is approved or until LIUGONG advises the service date of replacement or until LIUGONG
provider to handle it by itself advises of an alternate disposition. Once either
occurs, the service dealer may dispose them
6 5.6 Document requirements of various claims 5.6 Document requirements of various claims
Added the filling of "Industry Category ", and b) Service Requested Time
standardize and refine the fault information and
picture information requirements. e) Industry Category: none
b) Service Requested Time.Time is required to g) Failure Information Description:

detail to minutes Accurately, completely and truthfully
describe the failure, including the failure
e) Industry Category: Level 1 Industry Category，Level description, Cause of Failure and Corrective
2 Industry Category, Level 3 Industry Category default Action.
the information entered in registration form.When the
industry category at the time of failure is inconsistent m) Attachment information: The following
with the registered, you need to fill in the classification pictures must be provided : the pictures of
information of the industry category at the time of the
product, the product nameplate , the meter
failure.
reading, the failure part , the maintenance
g) Failure Information Description: Accurately, process (at least 1), the major failure part
completely and truthfully describe the failure, including nameplate , And for the appearance
Customer complain, failure description,Cause of Failure warranty, the picture of before and after
and Corrective Action. painting, other document required by
supplier.
m) Attachment information: The following pictures
must be provided：the pictures of product, the product
nameplate, the meter reading, the failure part, close-up
of the failed part,picture of the nameplate or logo of the
failed part, picture of the nameplate or logo of the new
part, the maintenance process (at least 1), and for the
appearance warranty, the picture of before and after
painting,other document required by supplier（such as
abnormal noise and other situations with photos can not
be clearly displayed, then use video display）.
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7 5.6.6 5.6.6
1. Customer Complain /Failure description 1.Failure description
Customer Complain: Description of the fault symptom Definition:Description of symptom or failure
or fault code indicated by the customer. code present that caused the repair event.
Failure Description : Based on the preliminary 2.Cause of failure

determination of the maintenance personnel on-site
Definition:Describe the root cause of the
inspection, there is a description of the symptoms or
fault codes that caused the maintenance event. failure
2. Cause of failure
Definition: Describe the failure analysis process to
determine the root cause of the failure
8 5.7 5.7
If the problem is not caused by the transportation If the problem is not caused by the
process, but belongs to the problem caused by the
transportation process, but belongs to the
design and manufacture, LIUGONG shall bear the labor
and material cost incurred in the repair process, and problem caused by the design and
after complete of the repair, the repair information shall manufacture, LIUGONG shall bear the labor
be submitted,inventory regular maintenance records to
and material cost incurred in the repair
DMS according to the claim requirements of
LIUGONG. process, and after complete of the repair, the
repair information shall be submitted to DMS
according to the claim requirements of
LIUGONG.
9
7.8.1 Documentation for all claim types
Add:
d) Parts Outbound Order/ Picking List

Parts Outbound Order is a record of the parts used
by the dealer for the warranty service. This bill
contains the service order number, product serial
number , part serial number, and the quantity.
For details, please refer to Annex 2: 9. Parts
Outbound Order
None
e) Financial Record/Service Bill
Dealer's own warranty service cost record, this bill
contains service order number, product
information, parts, labor, miscellaneous charges
and repair details.
For details, please refer to Annex 2: 10. Service
Bill
10 Annex1: Engine Warranty Policy Annex1: Engine Warranty Policy
6.Weichai Engine Warranty 6.Weichai Engine Warranty

(1)Standard warranty: Weichai provides
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(1) Standard warranty: limited warranty coverage for a period of 1
year or 2000 hours to the end user, whichever
Road machinery,Wheel Loader: Weichai provides comes first.
limited warranty coverage for a period of 1 year or （2）Engine body, crank shaft, bracket, link: 2
2400 hours to the end user, whichever comes first.
years or 3000 hours, whichever comes first.
Bulldozer:12 months unlimited hours.
(2) Cylinder block ,crank

shaft,camshaft ,link ,crankcase,Cylinder
head,flywheel housing, Timing gear chamber: 24
months unlimited hours.
Preface
This manual mainly clarifies the warranty management clauses of products of LIUGONG overseas market; the manual
is formulated to regulate the warranty management requirements of LIUGONG and its distributors, so as to continuously
improve the warranty management level of LIUGONG to its service providers and end users, to achieve the purpose of
customer’s satisfaction with the products and services of LIUGONG. This Manual shall be effective from Oct 01th, 2022
and shall be substituted for any previous edition. At the same time, LIUGONG reserves the right to amend and cancel this
manual at any time.
This manual is only for the use of LIUGONG Overseas Business Center, LIUGONG overseas subsidiaries and
LIUGONG overseas authorized service providers. According to the actual situation of each region, LIUGONG overseas
subsidiaries can formulate regional warranty policy in accordance with the local market on the basis of this manual, and it is
prohibited to copy or circulate outside the LIUGONG system. If necessary, LIUGONG Overseas Business Centre reserves
the right to modify the Overseas Warranty Management Manual at any time without prior notice.
1 About This Manual
This warranty administration manual is made to support LIUGONG authorized service provider on smooth and efficient
implement of warranty support activities. Overview of warranty claims provisions, product warranty policy, extended
warranty policy, warranty claims and warranty audits of LIUGONG and Authorize service provider are covered by this
manual should use this practical quick guide frequently as a reference for warranty support information.
■ For every case of machine sale, information related to warranty coverage and items should be clearly explained and
communicated to the customer. Prior to completion of the machine sale, it is a practice for user to obtain a correct
limited warranty certificate and read carefully, delivery services should include verbal interpretation on limited
warranty certificate to personnel directly involved in the purchase. (See Annex 2 for limited warranty certificate)
■ Warranty management of high quality has developed to be a fundamental factor in aftermarket of construction
machinery industry, and its increasing importance has become a key factor in equipment purchase of customers,
therefore, it becomes very important for LIUGONG distributor to clearly inform the customers of warranty coverage of
LIUGONG.
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■ Any additional warranty content provided by the LIUGONG Distributor to its customers or the Distributor’s special
warranty is a separate agreement between the LIUGONG Distributor and the Customer. Any special warranty provided
by such Distributor shall be the sole responsibility of this LIUGONG Distributor, and shall be performed by the
individual LIUGONG Distributor, and the costs and expenses shall be borne by the Distributor. In addition, any special
warranty provided by such Distributor must be clearly defined, identified and informed to the customer, and the
warranty provided by LIUGONG cannot be confused with the content and scope of the special warranty provided by
the Distributor.
■ No employee or representative is authorized to change this warranty in any way or grant any other warranty without
written authorization from a member of LIUGONG executive management.
■ Applicable product of this manual includes: Wheel Loader, Excavator, Roller, Paver, Motor Grader, Bulldozer,
Backhoe Loader, Skid-steer Loader, Off-road wide-body dumper, Cranes, Concrete Machinery,Sugarcane Harvester.
■ The clauses marked with “*” indicate that overseas subsidiaries may set up suitable sub-clauses according to
regional conditions.
2 Warranty Definitions
2.1 What is Warranty
LIUGONG’s warranty is a commitment made by LIUGONG to repair free of charge for quality problems arising from
defects in materials or manufacturing processes within the specified period of time and use of the product. The product
warranty registry must be signed between the authorized distributor representative and the customer representative at the
time of delivery, specifies binding commitments and limits relating to the product.
The purpose of the warranty is to restore the product to its correct operating conditions after a failure, thereby
re-establishing its intended value, which involves repair or, if necessary, the option of replacing defective parts. Incidental
damages and consequential loss are not covered by warranty.
Note:
● A defective part is the LIUGONG part that caused the failure.
● Incidental damage is best described as any damage to property resulting from the failure.
● Consequential loss is best described as other loss, notably loss of profit or use, as a consequence of the failure.
Example:
A LIUGONG bucket tooth fell into a crusher as a result of a defective tooth pin. The warranty will provide for
replacement of the pin and the resultant damaged bucket tooth. The warranty will not cover the damage to the crusher
which is incidental damage, or the loss of profit due to downtime which is on sequential damage.
2.2 Can Warranty be voided?
The manufacturer regional representative and authorized service provider shall not cancel the warranty provided to the
customer or render it fail without any reason. However, the manufacturer and authorized service provider may not be liable
for any failure caused by misuse or unauthorized modification or any other reason beyond the scope of the warranty.
3 Warranty Management Procedures

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3.1 Warranty Management Principle
Products sold by LIUGONG shall be accompanied by a standard warranty (coverage provided) that defines the liability
of LIUGONG and its customers in the event of failure due to defects in materials or technology of LIUGONG products
(failure within the scope of warranty).
In addition to this standard warranty, LIUGONG also sells service campaign to extend the warranty period, known as
the “extended warranty service campaign” (for example, purchasing an extended warranty service campaign). These service
campaign also define the liability of LIUGONG and its customers in the event of failure due to defects in materials or
technology of LIUGONG products (failure within the scope of warranty) .
3.1.1 Warranty Principles
The authorized service dealer appointed by LIUGONG is the first responsibility to provide the warranty service to the
customer. During the warranty period, correct maintenance shall be carried out in accordance with the requirements of
LIUGONG. Under normal conditions, if defects occur in quality or assembly of the machine and its parts, LIUGONG or its
authorized service dealer shall be responsible for free repair or replacement of the defective parts which are identified as
non-human damage by LIUGONG’s designated personnel.
.
Remark: In case of product failure in warranty , the customer shall contact the LIUGONG authorized service dealer for
repairs. If the repair cannot be completed within the warranty period for special reasons , the authorized service dealer must
first create a repair order. Warranty expiration is based on the service requested time and product meter reading
3.1.2 Warranty Inheritance and Personalization
√ Warranty inheritance: Within the same region, the warranty can be transferred to another owners unless specified
agreement; For the subsequent owners of the cross-region, the warranty cann’t be inherited unless
prior written consent shall be obtained from LiuGong.
√ Warranty Personalization: Unless stipulated by local laws or industry standards, the regional standard warranty
in principle follows the warranty policy of the headquarters. If it is necessary to revise the standard warranty
policy and manual issued by the headquarters due to local laws or industry regulations, each region shall revise
the regional standard warranty policy in accordance with local laws and industry regulations, and submit the
revised regional warranty policy and relevant regulations and policies to the headquarters for review and filing,
and implement it after approval by the headquarters.
3.2 Responsibility of Administering Warranty
The warranty statements define the company’s confidence in the quality of its product and the company’s obligation to
participate with the servicing dealer in the cost of repairs resulting from defective parts or factory workmanship.
Furthermore, it is essential that customers at any time should be aware that the warranty decision is made by the
service dealer; there is no direct communication between LIUGONG and the customer. LIUGONG service dealer assume
this responsibility and should recognize that they are not acting as “agents” in the claims. When resolving a claim, the
service dealer is representing the service dealer himself, but is not conveying LIUGONG’s instructions. For LIUGONG and
LIUGONG service dealer, warranty is not an opportunity to make a profit.
LIUGONG only guarantees the product, all parties, namely, LIUGONG, service dealer and customers understand and
bear the warranty responsibility. The sales of LIUGONG products involve manufacturers, service dealer and customers.
Each party assumes a specific liability that will affect the warranty. It is very important for service dealer to understand
these responsibilities in order to determine which party or parties shall be responsible for the repair cost and its amount.
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3.2.1 Responsibility of LIUGONG
• Manufacture products that are free of defects;

• Honoring its warranty obligation;
• Execute the new machine arrival inspection, record the inspection situation, and output the new machine arrival
inspection report. In case of any missing or damage, feedback shall be made according to according to the
“Equipment Arrival Inspection Policy”.
• Be responsible for the Inventory management, undertake the responsibility and repair of non-product quality
problems during the stock period. The management methods are as follows:
1）After the machine is put into storage, the service dealer will inspect the machine in stock every month (30
days) according to the content of the “Inventory Checklist” until the machine is sold.
2）Inventory inspection reminder: The DMS system automatically initiates the first stock inspection reminder in 20th
day after the machine is put into storage; for the machines sold within 20 days after the machine is put into
storage, the DMS system will no longer initiate an inventory inspection reminder, and the service dealer will not
have to do inventory inspection.
3）Subsequent inventory inspection reminders are initiated every month (30 days), and service dealer can dispatch
workers or enter inventory inspection results according to the service reminders, or record and manage them in
other ways.
4）Warranty registration of machines in stock for more than one year, lack of inventory inspection records will lose
warranty qualification.
5）For pre-sales claim and lack of inventory inspection records, LiuGong has the right to refuse warranty payment.
• Selling products within the limits of their intended capacity and application;
• Delivering products in good working condition;
• Providing instructions and training to customers on proper operation and maintenance;
• According to the attitude and content of the signed sales agreement with customer to implement service and this
should be repeated during follow-up service calls and within the warranty period;
• Warranty management, this work includes:
√ Know product’s service history;
√ Know previous failure information;
√ Know customer and the application;
√ Know product operating conditions;
√ Know customer’s operating and maintenance practices;
√ Find out parts involved in the failure;
√ Perform a failure analysis;
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√ Determine if the failure is covered by warranty, and if so, what expenses are covered;
√ Determine the most economical method of repair;
√ Settle the repair cost with the customer;
√ Submit the warranty reimbursement claim to LIUGONG after the customer settlement and repair
completion, with proof that the failure was the result of a defect in material or workmanship;
√ Keep and submit failure analysis data;
√ Keep and submit repair documentation;
• Investigate each potential warranty situation to determine whether a factory defect caused the problem or
whether poor maintenance, operator abuse, or abnormally severe application contributed to the failure；
• Stock up the items as per the recommended part list and maintain the spare parts level in order to support the
warranty and maintenance needs of LIUGONG product in the dealer’s assigned territory, to complete warranty
repairs in a timely manner to reduce the customer machine down time.
• Provide maintenance personnel and after-market management personnel who have been trained and certified to
work in accordance with authorized product models and comply with government regulations.
• Configure professional tools to meet product repair in authorized jurisdictions.
• Reserve relevant technical information of products in the authorized area.
• According to the different authorization types of maintenance, dispatch maintenance personnel with similar
certifications for maintenance. Do not use unauthorized service personnel to perform repair work beyond the
scope of authorized certification.
3.2.3 The Customer is Responsible for:
• Clearly understanding the LIUGONG warranty; what is covered and what is not;
• Operate the product properly and within the limits of its specified capacity and application. If it is determined that
the failure was caused by poor maintenance, abuse, overload of machine or abnormally severe application, the
user and not the manufacturer or dealer is responsible;
• Properly maintain the product as instructed during delivery and according to Operation & Maintenance manual
provided in the delivery package. However, if a machine user elects to forego periodic maintenance, the
consequences for failures resulting from such actions should be borne by customer;
• Notifying the service dealer immediately when a problem exists;
• No modification or use of non-LiuGong genuine parts and attachments is allowed without a written consent
3.3 Pre-authorization
Definition: Pre-authorization means that LiuGong overseas regional service managers and above have authorized
LiuGong service dealers to perform maintenance or replacement of key components;
3.3.1 The decision whether to replace or repair parts, assemblies or package unit within the scope of warranty shall be based
on conventional practice, economic and fair value. The service dealer shall give priority to the most economical way of
maintenance, and shall have the right to pay only the expenses and replacement parts corresponding to the most
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economical way of maintenance. Prior to component disassembly, the regional service manager of LIUGONG should
be informed; if the most economical maintenance mode cannot be adopted, or if there is no access to lower-level parts,
replacement is required; prior to replacement, the service dealer needs to obtain pre-authorization from the regional
service manager of LIUGONG, and carry out maintenance and claim after obtaining the authorization.
3.3.2 Assemblies requiring pre-authorization from the regional service manager of LIUGONG includes: Transmissions,
Driver axle, pump, valve, motor, Alternator, Compressor, Reducer, cylinder, Engine, controller, cab assembly,
radiator assembly, Work device（Bucket,boom, frame, Attachment, etc.), or repair cost more than $3,000.
3.4 Parts
3.4.1 In case of applying for compensation of part costs to LIUGONG, parts must be purchased from LIUGONG
authorized Parts distribution center;If the purchased parts are not from LIUGONG or purchased from other
channels due to customer’s emergency needs of the customer for complete machine maintenance and other special
reasons, it must apply for approval in writing to the regional service manager or above level of LIUGONG,
otherwise LIUGONG will not compensate for it. Unless the price approved by LiuGong in advance. In principle,
the reimbursement for locally purchased parts cannot be higher than the LIUGONG parts. If the amount of local
parts claimed exceeds $100, local parts purchase invoice is required.
3.4.2 The service dealer completes the equipment repair by using the parts in stock or by the parts purchased from
LIUGONG, and then submits the claim to LIUGONG DMS.
3.4.3 Repair parts: The cost of parts for repair must be lower than new parts.
3.4.4 If the repair cost of the main parts exceeds the cost of the remanufactured parts or the new parts and has obtained
the written authorization of the LIUGONG Party to replace the assembly, the repaired old parts may be used for
temporary replacement before the new parts arrive.
3.4.5 Application for replacement of assemblies may be made in the following circumstances:
 Parts or assemblies are non-repairable;

 The components of the assembly cannot be repaired;
 Repair can cause safety problems or hidden dangers;
 The repair cost exceeds 70% of the replacement cost of the assembly.
3.4.6 Non Genuine Parts: Using parts that are not approved by LIUGONG will not render the failure of the warranty. If
the failure occurs due to non-genuine parts, LIUGONG will not be responsible for restoring the product to an
acceptable state.
3.4.7 All failure parts shall be reimbursed on the basis on the sales price of valid reserve parts on the date of repair or
service completion * Service dealer Parts Markup on the repair date or service complete date.
3.5 Labor
3.5.1 LiuGong's subsidy for labor costs incurred by service dealer in specific areas when repairing the machine during the
warranty period. The Labor hour is a fixed value. It is the standard repair time for repairing the fault. It is neither the
time used to calculate the number of personnel involved in the repair, nor the actual time used by the service
provider to complete the repair. The service provider chooses the correct repair labor code according to the fault of
the repair, a failure can only choose a consistent repair labor code, LIUGONG refuses to pay the unsuitable labor
selected; labor cost = labor hour* labor rate
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3.5.2 If a suitable labor code cannot be found, an application shall be made to the regional service personnel of
LIUGONG. When the place of service considers the standard labor of LIUGONG to be inaccurate, inquiry can be
made to the regional service personnel of LIUGONG; (See annex 2 for an application form for labor code)
3.5.3 Labor which LiuGong does NOT reimburse includes, but is not limited to:
 Salvaging parts or tools that have been damaged from improper handling or lack of correct tools
 Work performed not within the scope of warranty;
 Product maintenance is beyond the scope required to correct overlapped failures and progressive damage.
 Manufacture or modify a particular tool or device due to no right tool or device;
 Repair failures caused by poor technology in prior repairs;
 Rework due to incorrect use of the parts or incorrect installation of the correct parts;
 Waiting time due to the product, equipment, service or parts not being available for repair.
 Waiting time to access the product.
 Waiting on another technician to finish using special tools or shop equipment.
 Waiting on other technicians to provide required help.
 Repairing workshop equipment.
 Repairing customer supplied components.
 Unnecessary inspection of visibly damaged parts or replacement parts.
 Clean tools or equipment in the work area.
 Performing a Job Safety Analysis
 Additional time required due to inadequate repair site conditions and/or equipment.
3.6 Mileage
LIUGONG’s subsidy for vehicle mileage costs incurred by service providers in a particular area when completing
repair of machines within the warranty period or extended warranty period. The mileage refers to the round trip distance
from the service provider’s nearest maintenance point to the location of the equipment repaired; the place of departure and
repair must be provided for the mileage claim. Mileage cost = mileage * mileage rate
The mileage compensation includes:
1) General quality problem: one failure is allowed to claim mileage cost once only, and multiple failures occur at the same
time are allowed to claim mileage cost once only. The total round trip mileage shall not exceed 300 km.
2) Campaign Service: One failure is allowed to claim mileage cost once only , and multiple failures occur at the same time
are allowed to claim mileage cost once only;
The total round-trip mileage compensation is calculated as a return distance from the nearest maintenance
point of the service provider to the place where the equipment is repaired.
3) LIUGONG direct sales machine service transferred to the authorized service provider: One failure is allowed to claim
mileage cost once only, and multiple failures occur at the same time are allowed to claim mileage cost once only; The
total round-trip mileage compensation is calculated as a return distance from the nearest maintenance point of
the service provider to the place where the equipment is repaired;
4) Stock machine is not covered for mileage cost; (Except Demo)
5) The repair of the machine in the workshop is not covered for mileage cost;
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6) Major quality issues (limited to replacements or overhauls of pre-authorized core components): Up to two round-trip
mileage cost can be claimed for one failure;less than 600 km;
Core components include: Transmissions, Driver axle, Swing motor&& reducer, Engine, Travel motor & reducer,
Control valve, Cab assembly, Boom, Frame, Attachment.
3.7 Other Claimables
Repair workshops will generate many types of costs, which LIUGONG considers to be indirect costs. LIUGONG shall
not be liable for indirect expenses and shall not be liable for compensation. (e. g. cleaning supplies, hazardous waste
charges, fines and freight charges)
For special reasons, the following exceptions may be considered for compensation, but applications can be made only
with the consent of the regional services manager of LIUGONG:
√ Campaign Service customs clearance cost;
√ Repair cost of failure parts within the scope of local warranty;
√ Parts return cost due to freight charged when parts return process requires failure analysis of parts;
Note: For claims for other service costs, invoices are required to be submitted as supporting documents.
3.8 Retaining Failure Warranty Parts
3.8.1 The service provider must retain the faulty parts, the retention period is from 6 months after the claim is approved or
until LIUGONG advises of an alternate disposition.
3.8.2 The service dealer must keep all applicable records regarding the disposition each failed part. LIUGONG reserves the
right to audit applicable records and inspect failed parts at its discretion. LIUGONG will request the service provider to
return the defective parts to LIUGONG headquarters or LIUGONG designated place as necessary. The corresponding
cost of returning the defective parts shall be borne by LiuGong.
4 Product Warranty Policy
4.1 Warranty Start Date
 The machines is sold or used within 18 months after the date of shipment from the factory, this warranty begins
from date of sale to end user;
 The machines is not sold or used within 18 months after the date of shipment from the factory, the warranty will
begins from the date of 18months after shipment date from the factory;
 The machines is for rent business , the warranty begins from the first day of use;
 The machines is for DEMO business, the warranty will begins when the machines worked for 150 hours;
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 The buyer of the machines is end user , uncertified distributor , the warranty will begins after 2months from the
date of delivery from the factory .
4.2 Machine Delivery and Registration
4.2.1 Definition
PDI: Short for Pre Delivery Inspection, PDI means the inspection before the machine is delivered to the customer to
ensure the safety and normal operation performance of the new machine. The completion of PDI is the premise of
warranty registration.
Warranty registration: Warranty registration is completed in DMS registration as the main proof of warranty service.
The registration information includes the product serial number, application industry, customer name, customer type,
customer address, customer telephone , warranty period, delivery date, meter reading and so on.
4.2.2 Machine delivery and registration requirements
a. The service Dealer should check the machines following the instructions as the Pre-Delivery inspection form
(PDI) before the machines are delivered to the customer or the rental fleet.
b. At the time of delivery to the end user, the owner and operator are to be instructed by the Dealer as to the proper
operation, maintenance, lubrication, safety precautions, and actions to be taken in the event of a failure. The
Dealer must ensure the customer fully understands every feature of the machine, including safety, as well as what
is covered by the warranty. This service inspection will be at the Dealer’s expense.
c. At the time of delivery to the end user, the service Dealer should check parts, tools, manuals and other accessories
being shipped with the machine.
d. The Dealer’s servicemen must prepare the Machine Registration Report recording the exact delivery date, which
must be signed by the customer and or his representative. A copy of Machine Registration should be given to the
customer. The Dealer and customer must fill out the Machine registration form completely. Any registration form
which is missing any information will automatically be rejected.
e. If the Dealer's country is LiuGong self service region and the machine is installed with the type of LiuGong self
service Cummins engine, you need to choose Cummins engine policy at the time of registration.
4.2.3 Warranty registration submission Limits
4.2.3.1 The receipt of the Pre-Delivery Inspection and Machine Registration will be a requirement for fulfilling any
limited warranty obligations. Dealer must submit the Pre-Delivery Inspection and its scan version as an annex
and Machine Registration in DMS system within 30 days after the machine is delivered to the end user or
within 150 hours of the machine running.
4.2.3.2 Any registrations submitted beyond 30 days limited and within 90 days after delivery to customer , LiuGong
has the right to reimburse 90% of the warranty ; submitted beyond 90 days , Liugong has the right to reimburse
70% of the warranty ; submitted more than 180 days, Liugong has the right not be honored of the warranty.
4.2.3.3 If stored over one year, monthly storage service and maintenance record as an attachment for Machine
Registration in DMS system online is necessary.If it is not possible to provide the storage service and
maintenance records , Liugong has the right not be honored of the warranty.(registry form refer to Annex 2 )
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4.3 Current Warranties
Current warranties are the warranties that are presently in effect on Liugong products and applications.
Terms that you should be familiar with when using this section are:
 Delivery Date / warranty Start date: The date the coverage was put into effect at Liugong products put into service
on or after this date (but before the coverage end date) will have this warranty.
 Coverage Expiration: All Liugong coverages expire at 11:59 P.M. on the indicated coverage expiration date.
Claims for failures that occurred after 11:59 P.M. on the coverage expiration date will not be eligible for the
coverage. Products are not eligible for coverage under Liugong ' warranties after the expiration date.
4.4 Standard Warranty Policy
According to the product characteristics and industry rules, LIUGONG equipment parts warranty are divided into
standard warranty and special warranty.(Cummins engine policy please refer to Annex 1: engine warranty)
4.4.1 Standard Warranty
The warranty start date is the delivery date for the first end user, or the date on which the rental machine is used for
the first time, or the date on which the machine worked for 150 hours, or the date of 18months after shipment date from the
factory, whichever occurs first.
Products Group Warranty period
CE Products Group（excluding 12 months or 2000 hours from delivery date to the end user, or 30 months from
Off-road wide-body dumper the date of shipment from the originating factory, whichever occurs first.
and Concrete Machinery）
12 months or 30000 kilometers from delivery date to the end user, or 30 months
from the date of shipment from the originating factory, whichever occurs first.
Off-road wide-body dumper
Concrete pump and batching 12 months or 2000 hours from delivery date to the end user, or 30 months from
plant products the date of shipment from the originating factory, whichever occurs first.
Truck mixer 12 months or 40000 kilometers from delivery date to the end user, or 30 months
from the date of shipment from the originating factory, whichever occurs first.
Sugarcane Harvester 12 months or 2000 hours from delivery date to the end user, or 30 months from
the date of shipment from the originating factory, whichever occurs first.
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Note : 1.After the warranty start date, whichever occurs first;
2.Warranty coverage: Parts, Labor, Mileage;
3.Where there is a special agreement, the special agreement shall prevail.
4.4.2 Limitations
The start date of the special warranty is consistent with the standard warranty. .After the warranty start
date, whichever occurs first.
4.4.2.1 CE Products Group（excluding Off-road wide-body dumper and Concrete Machinery）
6 months/1200 hours Tire

1 year/1000 hours Rubber tracks
Special warranty 1 year/500 hours Belt
6 months/1000 hours hydraulic hammer parts: piston, front head , Frame.
3 months/500 hours hydraulic hammer parts: fixing bolts, nitrogen valve, Pin and
shaft sleeve, Stop Pin , hoses.
The periodic replacement parts Oil plants, coolant, refrigerant, grease, all kinds of filters, filter
screen, wiper blades, rubber part , gasket
The normal wear parts pin, bush bearing, bucket and bucket teeth, grease fittings ,
brake linings, rubber pad , brake shoe, carrier roller, blade and
Non-Warrantable other consumables
part
The vulnerable parts glass, rearview mirror, lamp , fuse, battery, (not include electric
forklift ) clutch friction plate, sliding block, Wire Rope, Pulley，
Heat shield
Others Non-warrantable items mentioned in diesel engine warranty

manual, attachment parts, attachment tools, standard fasteners,
O rings
4.4.2.2 Off-road wide-body dumper
1. Main-frame、Sub-frame 、Cargo、Balancing shaft、 Hydro-cylinder for lifting

2.Main parts of axle: camshaft、support、brake、axial bearing、hub、pitman arm、
12 months/30000km tie rob、axle housing、air chamber support、components of pitman arm、steering
knuckle、differential、bearing block、brake shoe、brake drum、wheel hub reducer、
main reducer、brake arm
6 months/15000km Excludes standard warranty and non-warranty parts
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Parts required periodic inspection, maintenance, replacement and belong to the
normal wear and fragile parts, such as Tire,paper gasket, brake piece, oil,
No warranty antifreeze, battery fluid, brake fluid, refrigerant, lubricant 、oil cup、filter ，
standard parts, glass, light bulbs, fuses, rear view mirror lens, scraping blade arm,
antenna, stone,O ring, etc.
4.4.2.3 Concrete Machinery
The warranty period for parts that do not coincide with the warranty period of the machine is detailed in the following
table：
12 months/700hours (boom concrete pump )pipe,elbow pipe
6 months/1200 hours Tire
(trailer pump and line pump)pipe ,elbow pipe ,reducer ,wearing ring ,remote ,remote
6 months/400hours battery,lubrication parts,water pump,cleaning water gun AS,electric
cables ,sensor(proximity switch)
discharging liner plate,steel rope of lifter,robber pipes ,transfer belts,air pipe,power of

6 months/1000hours
camera ,UPS power , mouse, keyboard ,bolts,roll bearing, control-soft shaft
1.filters：filters, dust collector bag ；
2.oils：oils ,coolant；
No warranty
3.others：bulb,fuse,piston,cleaning ball,clamp,rubber seal,print papers,cleaning
plate,colour bar, glass,plastics,attachment tools
4.5 Marketing of product extend Warranty
LIUGONG has launched a series of new plans to enhance our competitiveness in the construction machinery market.
One of the core program is the Extra Care Plan, the marketing of product extend warranty . This plan gives subsidiaries
more flexibility to apply for purchasing extend warranty within 18 months after the machine is delivered or within the
standard warranty period（1year or 2000hours） of LIUGONG,which complete inventory maintenance is required to be
recorded in the DMS system.
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4.5.1 Extended warranty policy
Extended warranty package Warranty reimbursement fees&rates
More details as data base of extend warranty in DMS as same as standard policy of relative market
Note: 1. The definition of extended warranty start date as same as standard warranty period;
2.The Extend warranty period has covered the standard warranty period.
4.5.2 Purchase and Submission of Extended Warranty
 Subsidiaries could make their decision whether to purchase the extended warranty at machine order or within the
18 months from HQ delivery date or within the standard warranty period(1 year or 2000hours).
 If extended warranty purchase with machine at HQ, subsidiary should include the extended warranty cost in
machine order & budget application.
 If extend warranty purchase after shipment from factory. Subsidiaries should to send written application to
product marketing department and aftermarket management department of HQ.
 All preventive maintenance must to submit in DMS within 30days.
 Relative extend warranty option must be chosen at the process of machine registration in DMS.
4.5.3 Invalidation of Extended Warranty
Missing 2 times preventive maintenance or 1 time fake preventive maintenance or claims or non-genuine filter or
non-designated lubricants&liquid , the extended warranty will invalid automatically, and the extended warranty fee
will not be refunded .
4.5.4 Limitations of Extend warranty
2 year or 3000 Cable

hours,whichever occurs
first
50% of extend warranty

Special
period of whole machine or All structure of Machine equips hydraulic hammer,material handler,wood
warranty
1 year or 2000 working grapple,magnetic plate,hydraulic ram,hydraulic shears,excavator ripper which
hours,whichever occurs purchased from Liugong.
latest It’s acceptable of other channel attachment while written approval of
subsidiary is available in DMS.
non-coverage or limited of 4.4.2 Limitations : include to Special warranty and Non-warranty part
standard warranty
Non-warranty Power system injector,seal kit of injection pump,alternator,piston&piston rings&piston

parts pin&cylinder liner,shut off solenoid valve,starter.
other 1.attachment
2.Seak kit of cylinder
3.air conditioner compressor
4.All structure of Machine equips hydraulic hammer,material handler,wood
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grapple,magnetic plate,hydraulic ram,hydraulic shears,excavator ripper which
not purchased from Liugong and didn’t accept written approvement of
subsidiaries in DMS.
4.5.5 Payment and period
Subsidiaries could calculate charges (refer to extend warranty price in DMS), and the price does not include all taxes.
All taxes include China VAT of 13%, should to pay by subsidiaries.
1）Payment should be pay with machine , if the extend warranty package purchase with machine order from HQ.
2）Payment should be pay quarterly, if extend warranty package don’t purchase with machine order from HQ.
4.6 Exclusion in This Warranty
Non-Warrantable Repairs
a.Cost of transportation, loaner or rental.

b.This warranty specifically excludes all liability for damages arising from loss of use or profits, incurrence of costs
or expenses or injury to business, credit, and reputation of financial standing and for all other direct or
consequential damages.
c. Does not undertake any cost of oils, antifreeze, filter elements and other maintenance items replaced during
warranty repairs or maintenance.
d. Component Suppliers that handle and honor their own warranty separately from LIUGONG machine warranty in
some regions i.e.; Cummins, Weichai, Yanmar, Isuzu, Deutz Engines, Sinotuck chassis, Foton chassis, Isuzu chassis
Cascade attachments, etc. The foregoing warranty is exclusive and in lieu of all other warranties whether written,
oral, or implied. If there is no local supplier established or capable of the support, LIUGONG will honor the
warranty.
e. Attachments and motive battery chargers not manufactured by either LIUGONG or any of its subsidiaries, provided
however, LIUGONG extends to the customer the benefits of any warranties (if any) of the manufacturers or
suppliers of any of the excluded items.
f. Any part or component installed on a machine not sold by LIUGONG. This includes machines not manufactured
by LIUGONG.
g. LIUGONG is not responsible for any costs associated with repairs of non-warrantable parts.
h. Force of nature such as earthquake, flood or any other man-made damage or failure.
i. Operation of the equipment beyond its rated capacity or designed application will void all warranty terms.
j. Lack of maintenance, including, without limitation: failure to inspect and maintain in accordance with LIUGONG
published schedules, improper repair, and the use of non-LIUGONG parts not approved by LIUGONG.
k. Abuse, including, without limitation: neglect, improper operation, misapplication, overloading, accident or
alterations not approved by LIUGONG.
l. LIUGONG reserves the right to make changes in the design of its machines without being obligated to make
corresponding changes in previously manufactured machines.
m. The unauthorized alteration of machine, make it differing from original factory setting, whatever for any reason.
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n. . Warranty claim form does not meet the minimum requirements. Detail regulation should refer to DMS
OPERATION MANUAL.
o. LIUGONG does not compensate for non LIUGONG genuine replacement parts or parts replaced unnecessary due to
misjudgment of the Dealer’s service technician.
p. During warranty, Owner shall report any warrantable failure to LIUGONG dealer, and provide failure machine to
LIUGONG dealer or LIUGONG dealer assigned service provider for inspection and repair, Warranty may be not
applicable if owner obstruct relates failures inspection and analysis.
q. Damage caused in transit from HQ to subsidiaries or dealers. When taking delivery of the machine and determining
damage is caused by the quality of packaging or transit, dealer must seek assistance according to the “EQUIPMENT
ARRIVAL and RECEIVINGINSPECTION (INCLUDESINSPECTION PROCESS DAMAGE/SHORTAGE
CLAIM PROCESS) Policy”
r. Damage caused by or attributing to storage in, transit, or rust and corrosion, failure to properly follow storage
procedures, keep machine clean and free of damage caused by improper operation, application, maintenance, or
repairs.
s. Do not submit PDI and Machine Registration in DMS system within 30 days from delivery to the customer.
t. Excavators with the long arm use specifications must be strictly followed during product use. In the process of using
the long arm, Buyer shall not be within the warranty of Supplier if the product is damaged due to the following
conditions:
1) Damage to the long arm caused by improper operation or modification of the standard working device;
2) The long arm is only suitable for light load operation such as earthwork excavation, slope dressing, deep excavation,
river dirt and dredging, etc. It cannot be used for heavy-duty operations in mining, rock, deep water and other severe
working conditions, resulting in damage due to the above use;
3) Damage caused by the use of harsh working conditions and use in corrosive working environments.
4.7 Engine Warranty Policy (refer to Annex1)
4.8 Parts Warranty Policy
4.8.1 Genuine LIUGONG new parts and components sold through the LIUGONG dealer service network or LIUGONG
Parts Distribution Center (PDC) are free of defect in material or workmanship for a period of 6 months (180 days) from
the date of end customer commercial invoice. The details please refer to PARTS POLICY MANUAL (Overseas
Region).
4.8.2 If a part has been replaced under the machine warranty period, the warranty for the part is applicable only until the
end of the normal warranty for the machine. If a part has been replaced out of the machine warranty period, the warranty
for the part is applicable only until the end of the normal warranty for the purchased part.
Note: within the warranty period，dealer submit parts claims through dispute report, not in DMS.
5 Warranty Claim
5.1 Definition of Claim types

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5.1.1 Pre-sale claim/PDI: Claims for quality problems prior to the start of warranty period. (If the quality problem of
machine is caused by too long stock time and not regular maintenance, it does not belong to pre-sale claim. The custodian
himself shall bear the responsibility.)
5.1.2 Standard warranty claims: claims caused by quality problems during the warranty period
5.1.3 Campaign warranty: For the claim which repairs were done according to LIUGONG campaign Bulletin which
requires Dealer to repair the machines, and LIUGONG agree to pay for related cost for this repair. (Only can be
submitted this kind of claim after LIUGONG setting a campaign in DMS)
5.1.4 Extended warranty: Machine failure and repair during extended warranty period
5.1.5 Preventive Maintenance: It is a regional policy which is released by LIUGONG subsidiary. LIUGONG will pay to
dealer accordingly after each one of schedule service completed as per the schedule given.
5.1.6 Service Activity: Service Activity refer to the customer visiting activities organized by LIUGONG and its
distributors to improve the satisfaction of customers. LIUGONG will pay to dealer after service completed according to
the requirements in Service Campaign Notice.
5.1.7 Goodwill warranty: For the claim of machine fail after warranty is expired and consider that this repair should be
reimbursed from LIUGONG. (Only can be submitted goodwill claim after submit a report to LIUGONG and get the
approval)
5.2 Warranty Liability of Product Serial Number
One machine can only claim its own warranty cost.Unless there are special circumstances,it is not allowed to claim the
warranty cost of multiple machines through one machine.
5.3 Warranty Reimbursement Standard
5.3.1 Machine sold by the dealer, warranty by the dealer
Warranty cost Reimbursement with service Dealer by single claim, the reimbursement standard shall include:
Labor cost, mileage cost and parts cost at a certain makeup rate.
Each LIUGONG subsidiary may have different reimbursement contents within region; it may not cover all items.
Please get details information all reimbursement criteria through LIUGONG subsidiaries or LIUGONG Overseas
Business Center.
● Labor: Paid at LIUGONG Service Dealer Rate (Detailed refer to manual 3.5)
● Mileage: Paid at LIUGONG Dealer actual Rate * actual service distance. (Detailed refer to manual 3.6)
● Parts: LIUGONG Overseas Business center or subsidiary parts Selling Price on service complete date * Dealer
Markup. (Detailed refer to manual 3.4)
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* Parts markup rate should be based on the average cost for each Main Store for at least the last 12 months prior to
review date. The following items are included in mark-up rate:
 Sea Freight and Insurance
 Port Fees
 Custom Duty
 Clearance Fees
 Import Tax
 Inland Transportation from port to dealer main branch store
5.3.2 Machine sold by non-local distributors
Machine sold by non-local distributors, but warranty service by local distributors,

Non-local distributors are required to pay service commission and warranty service cost.
A. Service commission
For specific reasons, if the regions where customers do not purchase LIUGONG products at local distributors or
change the location of construction to the area of local distributors require local distributors to provide warranty
services, with the approval of LIUGONG Overseas Business Center, LIUGONG Overseas Business Center or
invoice distributors will compensate the local dealers a certain warranty cost.
Calculate according to local rate standard.
First situation, for the new machine, pay the service commission which equals 2% of machine FOB price to local
dealer after local distributor receives the machine by twice. The first service commission equals 1% of machine
FOB price when the warranty start, the second service commission equals 1% of machine FOB price when the
warranty ends.The FOB price is based to the annual standard price issued by Liugong Overseas Business Center.
If there is no price for the product model in this year, the price of the latest previous year shall prevail.
Second situation: for the used machine, pay the service commission to local dealer after local distributor
receives the machine. The first service commission equals 1% of machine FOB price*remainder warranty
months/12 or * remainder warranty hours/2000 which one is less when the finishes reception, the second service
commission equals 1% of machine FOB price*remainder warranty months/12 or * remainder warranty
hours/2000 which one is less when warranty ends.
Note: Authorized service dealers need to sign a “Service Agreement” with LiuGong, and assume the warranty
service responsibilities according to the requirements of the agreement.
B. Warranty Service Cost:
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Warranty cost Reimbursement with the local dealer by single claim.
Reimbursement Standard includes: labor cost, mileage cost and parts cost at a certain makeup rate.
● Labor: Paid at LIUGONG Service Dealer Rate (Detailed refer to manual 3.5)
● Mileage: Paid at LIUGONG Dealer actual Rate * actual service distance. (Detailed refer to manual 3.6)
● Parts: LIUGONG Overseas Business center or subsidiary parts Selling Price on service complete date * Dealer
Markup. (Detailed refer to manual 3.4)
Note: Refer to 5.2.1 for calculation of parts markup
5.3.3 Authorized Service Dealer (Non-selling machine Dealer)
Authorized service provider(Non-selling machine Dealer)，i.e. the service provider who has signed a service agreement
with LiuGong, authorizes the service provider to provide services for LiuGong products, including in-warranty and
out-of-warranty services. The costs arising from the services provided within the warranty period can be submitted for
claim in LiuGong DMS, and the reimbursement standards shall be implemented according to the service agreement
signed between the service dealer and LiuGong.The costs arising from the services provided out of warranty period
shall be borne by the customer.
5.4 Procedure to Revise Warranty Rates.
5.4.1 The warranty claim rate of the authorized service dealer can be adjusted once a year.
5.4.2 The authorized service dealer must submit an application of the Warranty Claim rate Adjustment Form (supplied by
regional subsidiary request) to service manager or service director of subsidiary LIUGONG .The form shall be makes
by subsidiary according to their own requirements. A dealer may request the revision of its warranty rates one (1) time in
a calendar year.
5.4.3 The application must be prepared by the service dealer General Service Manager, Principal or similar responsible
person. This application must be accompanied with the service dealer letter of announcement of increase of selling or
charge-out rates to customers, or a copy of the service dealer invoice on which the increased rates are clearly shown.
5.4.4 The Authorized service dealers must collect proof of regional competitor warranty rates for the past 6 months.
5.4.5 After the application rates approved by LiuGong Overseas Business Center, LiuGong Overseas Business Center
warranty manager adjusts the rates in DMS system.
5.5 Claim Submission Limits
5.5.1 The ability for LIUGONG and its suppliers to make timely product improvements is dependent upon receiving timely
information from the field. The warranty claim application must be submitted and received at LIUGONG within 30
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days from the repair complete date. Any claims submitted beyond this 30 days limited and within 90 days, LIUGONG
will only pay 90% of total amount of claim; submitted beyond 90 days and within 180 days, LIUGONG will only pay
70% of total amount of claim; submitted beyond 180 days, LIUGONG will refuse the whole claim.
5.5.2 Resubmitting Warranty Claims – Any rejected or send back for asking more information claim application maybe
re-submitted to the LIUGONG within Fifteen (15) days after the claim settled date. Any re-submittal, submitted after
Fifteen (15) days, will be rejected as an untimely re-submittal unless a satisfactory explanation is supplied. LiuGong
will delete the draft claims that has been created for more than 30 days in DMS.
5.6 Document requirements of various claims
The authorized service dealer must submit a claim in the DMS system, It is recommended to use English or Chinese.
5.6.1 Standard Warranty
Standard warranty claims information includes but is not limited to:
a) Product Serial Number
b) Service Requested Time.Time is required to detail to minutes
c) Service Start time and Service Complete time. Time is required to detail to minutes
d) Meter reading: Meter readings at the time of the failure.
e) Industry Category: Level 1 Industry Category，Level 2 Industry Category, Level 3 Industry Category default the
information entered in registration form, when the actual industry category is inconsistent with the registered one,
the correct industry category need to be filled in.
e) Causing part number
f) Failure Information Description: Accurately, completely and truthfully describe the failure, including the
description of the failure complained by the customer, the failure information, Cause of Failure and Corrective
Action.
g) Major Component’s serial number：All failures regarding major component failures should contain the serial
number of the failed component and new component. Examples of Major component items are Transmissions,
radiator assembly, Work device（Bucket,boom, frame, Attachment, etc.).
Old part number Old part name Old part serial New part number New part serial number
number
1 11C0887 TRAVEL 17903142 11C0887 18031001

MOTOR&REDUCER
h) If the parts need to be repaired or replaced, please specify the part, explain the maintenance situation and reasons.
The cause of failure should be related to the discovery of the corrective action.
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i) Labor code: If there is no required Labor code in the system, application should be made to the regional service
engineer.
j) Mileage: the address of service station and broken machine should be remark in DMS. For multiple faults occur
in the same machine at the same time, only pay one time. Major quality issues (limited to the replacement or
overhaul of pre-authorized core parts) can be claimed for two round-trip mileage.
k) Service Surcharge Cost: it must be approved by LIUGONG and the cost proof material should be uploaded.
l) Attachment information: The following pictures must be provided：the pictures of product, the product nameplate,
the meter reading, the failure part, close-up of the failed part,picture of the nameplate or logo of the failed part,
picture of the nameplate or logo of the new part, the maintenance process (at least 1), and for the appearance
warranty, the picture of before and after painting,other document required by supplier（such as abnormal noise and
other situations with photos can not be clearly displayed, then use video display）.
m) Other materials required to be submitted by LIUGONG
Note: The above attachment information is recommended inset to Warranty Claim Form or Quality Report for
quality analysis of LIUGONG. Refer to annex 2 for the Warranty Claim Form or Quality Report template.
5.6.2 Campaign Service
The claim order of campaign service is created on the basis of the service remind. The claim information includes but
not limited to:
a) Product Serial Number: the Product Serial Number that needs to claim is confirmed by the campaign service
Bulletin. and the Product Serial Number of the relevant campaign service remind is found in DMS after the
product repaired, and the product in campaign service bulletin cannot submit other claim type through “New claim
order” mode.
b) Service Start time and Service Complete time. Time is required to detail to minutes
c) Meter reading: Meter readings at the time of the failure.
d) Industry Category: Level 1 Industry Category，Level 2 Industry Category, Level 3 Industry Category default the
information entered in registration form, when the actual industry category is inconsistent with the registered one,
the correct industry category need to be filled in.
e) Major component ’ s serial number ： All failures regarding major component failures should contain the serial
number
1 11C0887 TRAVEL 17903142 11C0887 18031001

MOTOR&REDUCER
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f) In general, LiuGong provides the free parts to Service Dealer, and the Service Dealer cannot claim the parts cost
repeatedly. If LiuGong does not provide the free parts, He can claim the parts cost. .
g) Labor code: the selection of labor code is provided according to the Campaign service Bulletin;
h) Mileage: the address of service station and broken machine should be remark in DMS.
i) Service Surcharge Cost: campaign service of claimable Part Clearance Fees, Transportation cost, Lifting cost,
etc.
j) Attachment information: Product nameplate pictures, Meter reading pictures, surcharge cost supporting
documents or invoices.
k) Other materials required to be submitted by LIUGONG
5.6.3 Preventive Maintenance
The claims of preventive maintenance is created on the basis of the service reminder , and the claim information includes
but is not limited to:
d) Attachment information: pictures of machine and new parts,pictures of the machine nameplate , pictures of working
hours, photos of new and replaced old parts, pictures of replacing oil,other supporting documents or invoices.
5.6.4 Service activity
The claims of service activity is created on the basis of the service activity reminder ,Service activity claim information
includes but is not limited to:
d) Attachment information: pictures of machine and new parts, pictures of the machine nameplate , pictures of
working hours, pictures of new and replaced old parts, pictures of replacing oil,other supporting documents or invoices.
5.6.5 Goodwill Claim
Goodwill Claim information includes but not limited to:
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b) Service Requested Time
c) Service Start time and Service Complete time. Time is required to detail to minutes
d) Meter reading: Meter readings at the time of the failure.
e) Industry Category: Level 1 Industry Category; Level 2 Industry Category; Level 3 Industry Category default
the information entered in registration form, when the actual industry category is inconsistent with the registered
one, the correct industry category need to be filled in.
f) Causing part number
g) Failure Information Description:.Accurately, completely and truthfully describe the failure, including the
description of the failure complained by the customer, the failure information, Cause of Failure and Corrective
Action.
h) Goodwill warranty reason: Describe of the relevant reasons in detail;
i) Major component’s serial number：All failures regarding major component failures should contain the serial
number
1 11C0887 TRAVEL 17903142 11C0887 18031001

MOTOR&REDUCER
j) If the parts are be repaired or replaced, please specify the part, explain the maintenance situation and reasons.
The cause of failure should be related to the discovery of the corrective action.
k) Labor code: If there is no required Labor code in the system, application should be made to the regional service
engineer.
l) Mileage: the address of service station and broken machine should be remark in DMS. For multiple faults occur
in the same machine at the same time, only pay one time.
m) Service Surcharge Cost: it must be approved by LIUGONG and the cost proof material should be uploaded.
n) Attachment information: The following pictures must be provided ： the pictures of product, the product
nameplate, the meter reading, the failure part, close-up of the failed part,picture of the nameplate or logo of the
failed part, picture of the nameplate or logo of the new part, the maintenance process (at least 1), and for the
appearance warranty, the picture of before and after painting,then use video display,other document required by
supplier（such as abnormal noise and other situations with photos can not be clearly displayed）.
o) Goodwill claim application: goodwill form with signature of corresponding level or approval email by
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LIUGONG
p) Other materials required to be submitted by LIUGONG
5.6.6 Basic Requirements for Failure Description, Cause of failure and Corrective Action
Definition Claim requirement
Customer Customer Complain: Description

complain/Failure of the fault symptom or fault code
description indicated by the customer. Record the description of the fault location and failure information
complained by the customer in the claim.
Failure Description : Based on the
preliminary determination of the
maintenance personnel on-site
inspection, there is a description of
the symptoms or fault codes that
caused the maintenance event.
Cause of failure Describe the failure analysis Describe the failure analysis process to determine the root cause of
process to determine the root cause the failure. All root cause must be able to be defined as a failure of
of the failure LIUGONG material or factory workmanship in order to be covered
by warranty.
Corrective Action LiuGong has given Service Dealer Description of the actions performed to address and repair the
the authority to make warranty complaint.
decisions on covered items during
a warranty repair, however
LiuGong reserves the right to make
the final decision upon reviewing
all claims.
5.7 Pre-sale Claim
Pre-sale claim is a claim made before the delivery date.
If the problem is found in the inspection process of receiving machine, parts of the problem should be photographed, if
the problem is cause in the process of transportation, the repair plan should be worked out in consultation with the shipper
in a timely manner, the labor cost and material cost incurred in the repair process should be bear by the shipper, and the
detailed processing process should be referred to the 《Equipment arrival and receiving inspection policy》.
If the problem is not caused by the transportation process, but belongs to the problem caused by the design and
manufacture, LIUGONG shall bear the labor and material cost incurred in the repair process, and after complete of the
repair, the repair information shall be submitted,inventory regular maintenance records to DMS according to the claim
requirements of LIUGONG.
If a problem is found in the sample machine in stock and in the inspection before delivery of the sample machine, it
belongs to the storage cause (the storage time is too long and there is no regular maintenance), the distributor or service
center in custody shall bear the labor and materials expenses incurred in the repair process.
5.8 Campaign Service

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To eliminate product safety problems or improve product reliability, LIUGONG can initiate campaign service bulletin
of products. LIUGONG may notify the service dealer of the campaign plan by means of Service bulletin or Special
Authorization. The LIUGONG service dealer is responsible for matters involving service bulletin in its area and submit
a warranty claim through campaign service remind in DMS system.
Instructions are provided with each Product campaign service bulletin indicating which machines are included, work to
be done, parts and material requirements, expenses which may be claimed, termination date and other pertinent details.
Campaigns should be performed within the limitations set on the Service Alert letter (i.e., dates and labor limitations).
And some related cost who should afford also performed according to the service bulletin. The program authorizes
allowances which may be less and can be more than the dealership's cost. Since it is not LIUGONG intention to pay all
expenses on each job, excess costs will not be accepted without adequate explanation. Excess costs due to local
conditions beyond the control of LIUGONG should generally be for the dealership's or customers’ account. The service
dealer may determine that it is necessary to provide a modification outside of any official product update. If prior
LIUGONG approval had been obtained, it should be substantiated by the service dealer attaching a copy of the
authorization letter or memo to the claim.
When a problem is encountered according to the implementation of the service bulletin, service dealer need to contact
LIUGONG for further guidance. Campaign service actions should be completed promptly in order to achieve these
objectives of improvement and promotion of product quality. The repair plan has the highest priority and needs to be
completed in a timely and comprehensive manner. Service dealer should do their best to win the cooperation of
customers. If the customer refuses to allow such improvement, the dealer’s Service Department shall obtain a written
disclaimer and submit to LIUGONG Subsidiary.
Since implementing the changes in accordance with the service bulletin can avoid the quality problems mentioned in the
bulletin from appearing during the warranty period. Therefore,failure to perform the campaign in a timely manner
contributed to the failure will not be honored if the failure occurred after the announced completion date. Additionally,
no Goodwill Policy Adjustment will be considered under such circumstances. LIUGONG reserves the right to deny a
warranty adjustment on any machine involved in a campaign whereby the campaign has not been performed and that
could have been performed at the time of the service repair.
5.9 Major Accident Report
Definition of Major Accidents: In the course of using LIUGONG products, heavy damage of LIUGONG products or
serious accidents of personnel casualties due to operation or accidents.
5.9.1 Immediate action is required to ensure correct and timely information is obtained from all involved parties.
5.9.2 If a machine is damaged in any way that may result in major personal injury or involved in property damage, field
service man must notify LIUGONG within 2 hours.
5.9.3 A properly completed Incident Report Form must be submitted to LIUGONG within 2 hours after the
incident/accident investigation. This report must be completed in English. (Please refer to annex 2 for the template
for the major accident report form)
5.9.4 Items to be noted during the course of the investigation are as follows:
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a) A camera is mandatory. Take clear photographs of the area around the incident/accident so others can
accurately evaluate the scene. Photograph everything that is defective, suspected cause, and damaged
or effected in the incident/accident, and recording video if necessary.
b) Talk to as many people as possible who witnessed the incident/accident or familiar with operation
and maintenance of the machine. Take statements get names, address, and phone numbers where all
involved parties may be reached at later dates.
c) Attempt to obtain all parts that are alleged to have contributed to the failure. Try to determine exactly
what happened from all known facts. Avoid jumping to conclusions, refrain from stating your opinion
as to what happened.
5.10 Goodwill Warranty
5.10.1 What is Goodwill Warranty?
LIUGONG and LIUGONG dealers are committed to deliver quality products and services as described in the warranty
administration manual. Even the warranty has expired, the seller and the servicing dealer still has the obligation to help the
customer if a problem arises. This is to ensure that fair value and good aftersales service is received by their customer.
Customer may requests for labor, parts and other services to be provided free of charge in addition to those services
specifically described in the warranty guideline. However, they must be considered as “exceptions” and resolved on the
basis of good business judgment appropriate for the particular market involved. These requests must be considered as
outside of any warranty agreement and handled on a goodwill basis. Consideration given for similar problems may well be
appropriate for one market situation but not for another and it is judge case by case.
In managing customer expectations, it is critical to explain the difference between warranty and goodwill settlements and to
ensure that the customer understands that the goodwill settlement is being offered in the interest of sustaining good business
relationship. Failure of the dealer to communicate this understanding will ultimately result in the customer dissatisfaction
and confusion on these services with warranty and expecting repeat free of charges services. Goodwill settlement should be
a onetime application and not set a precedent to an ongoing situation.
Goodwill is where LIUGONG, the service dealer and the customer participate in repair costs, which are not covered by
LIUGONG legal warranty statements within standard or extended warranty coverage. The amount of participation by each
party is primarily based on the degree of responsibility for the failure and value received by the customer from the product
to that point. Therefore, goodwill and warranty is entirely different. Warranty is clearly defined and it is not negotiable.
Goodwill is a cost of doing business and it is negotiable. All service personnel and customers should clearly understand the
difference. Unlike warranty, goodwill is not a legal obligation and is administered on a case-by-case basis to ensure that the
customer receives the intended value built into LIUGONG products.
The Goodwill is:
• The purpose of the Goodwill is to ensure that customers enjoy the fair value of their product investments.
• It is up to the distributor to decide whether to offer it or not, supported by LIUGONG.
• The intention is to maintain customer satisfaction and promote future business.
Goodwill is not:
• Extended Warranty or Extended Service Plan.
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• Aimed at offseting normal repair cost.
• Used for minor malfunctions.
• Automatically used for specific problems or customers.
• A legal obligation
Goodwill decision must be determined by Service Dealer 1st and LIUGONG 2nd. Customer should perceive the service
dealer decision which means that customer must see the service dealer as the one offering the policy settlement regardless of
what settlement service dealer has with LIUGONG.
Typically, the service dealer advises the customer of its decision and files a goodwill claim requesting LIUGONG’s
participation after repair completion. On some rare occasions, the service dealer may decide it is necessary to consult
LIUGONG prior to settlement with the customer. However, the final settlement with the customer is the service dealer’s
decision.
5.10.2 Requesting Goodwill Participation from LIUGONG
After settlement with the customer, the service dealer can request LIUGONG participation by submitting a goodwill claim
form, which should include a discussion of the goodwill consideration factors, as well as the extent of customer
participation LIUGONG will evaluate on all necessary information and at its discreet then accept the goodwill participation
on a percentage level for the repair cost.
The service dealer should refer to Warranty Goodwill Documentation for guidance and/or necessary procedures with
LIUGONG or Regional Manager to facilitate the processing of any goodwill request to LIUGONG.
5.11 Physical Delivery of Warranty Parts
5.11.1 In what cases should physical delivery be made?

Distributor is unable to purchase parts normally due to special reasons. The overseas subsidiary shall apply to the
LIUGONG headquarters for physical delivery upon the approval of LIUGONG headquarters.
5.11.2 Claim application process of physical warranty parts

Delivery application of physical warranty parts shall be submitted through DMS, The main information to be provided
under the physical warranty parts includes:
1) Machine Model
2) Serial Number
3) If engine parts are involved, please provide engine nameplate number.
4) Delivery date, Failure date, Meter reading
5) Order Type
6) Failure description
7) Photo, including photo of machine nameplate, picture of working hours, photos of failure parts, etc.
8) Part List
9) Packing requirements and clearance documents requirements
10) Address and Shipping method
11 ） Attachment :Provide special warranty parts application form ,The corresponding template can be managed and
downloaded through the DMS file
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5.11.3 The method of transportation and other requirements of the physical warranty parts
■ If distributors designated transport mode is unreasonable, LIUGONG Overseas Business Center has the right to choose
the best mode of transportation, in principle, air express is limited to halt orders within/outside warranty period.
■ Self-picking up delivery mode should take delivery and picking up of the goods in time; without special reason, the
mode of transportation is not allowed to change if there is no special reason in order to avoid repeated packing and
delay.
5.11.4 Scope of expense assumed by LIUGONG

LIUGONG headquarters is responsible for the cost, packaging and transportation cost of spare parts.
5.11.5 Claims Cost of Distributor

Distributor Claim Clearance Cost
6 Warranty Payment
6.1 Payment Clause
6.1.1 Pay every 3 month or total amount 50000USD between HQ and subsidiary, or subject to consultation with subsidiary.
6.1.2 Pay every 3 month or total amount 10000USD between HQ and distributor, or subject to consultation with distributor.
6.1.3 Settle amount between subsidiary and distributor, subject to subsidiary’s policy.
6.2 Payment Materials
6.2.1 HQ pays: dealer or regional office must sign the service contract then return it to LIUGONG along with a warranty
invoice following the requested timeline, and claim list should be provided at the same time.
6.2.2 Subsidiary pays: subject to subsidiary’s requirement.
6.3 Payment Time
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6.3.1 Paid by headquarter: After receiving payment document provided by the distributor or regional office, LIUGONG
Headquarters Service Department will check the payment document. The complete and accurate payment document will be
completed within 3 working days and the approval flow will be initiated. After the approval is completed, the payment will
be implemented by Finance Department. In the absence of any special circumstances in the normal operation of each link,
the settlement with LIUGONG shall complete the payment within 30 natural days from the receipt of the payment
materials.The headquarters completes the payment operation in DMS within 5 working days after the payment is completed,
hence the settlement status will be updated as “paid” to prevent repeated payment.
6.3.2 Subsidiary pays: subject to subsidiary’s requirement.The subsidiary completes the payment operation in DMS within
5 working days after the payment to dealer is completed ,hence the settlement status will be updated as “paid” to prevent
repeated payment.
7 Warranty Audit Policy
It is an examination of service dealers and LIUGONG subsidiaries warranty’s operations, processes and Policy to ensure
its effective and in compliance with LIUGONG Global Audit requirements. Warranty audits are carried out to ensure
warranty processes and Policy are observed during operations at both the service dealer and LIUGONG subsidiaries. The
basic objective is to ensure that the service Dealer’s warranty claims are made in accordance to LIUGONG warranty
policy. Due to incorrect or incomplete information and violation of LIUGONG warranty policy, LIUGONG has the right
to refuse to pay the approved claim to the distributor, and has the right to deduct the corresponding amount for the claim
which has been paid.
7.1 Warranty Audit Mode
7.1.1 Warranty audit is conducted in the following formats:
a) On-site Warranty Audit

b) Remote Warranty Audit
7.1.2 Decision if which format to be used depends on：
a) Time and human resources constraints

b) Ad-hoc situation due to increasing concern or abnormal phenomenon on some particular aspects observed during claim
processing.
7.2 Purpose of Warranty Audit
The purpose of the audit can be:
 Ensure that LIUGONG warranty requirements are met and standards are maintained.
 Ensure that LIUGONG Warranty expense are paid correctly.
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 Monitor the accuracy of claim information is submitted by dealers.
 Gain the knowledge of dealers’ warranty practices and philosophy.
 Get acquainted with dealers’ service and warranty operations.
 Help dealers introduce better management on warranty expenses.
 Help dealers understand warranty administration and resolve system problems.
 Ensure the failed components management system is complete.
 Evaluate if dealer is eligible for future automation of claim settlement arrangement.
7.3 Warranty Audit Rules
Basis of warranty audit: detailed rules of LiuGong Overseas Warranty Administration Manual, LIUGONG overseas service
management requirements are as follows:
Audit rules for warranty to service dealer:
7.3.1 Major Error (mark“1”)
A. Claims:
1) Wrong hour out of warranty period, if applicable the claims

2) No or wrong parts or quantity indicated in work order.
3) Others Claimed (example local parts purchase) – No official invoice, excessive claim amount to justify and
No explanation for the claim costs can be made
4) Wrong labor code
5) Wrong travel claims
6) No supporting documentation while claim other expense in service surcharge page
7) Duplicated Claims
8) Failure Description , Cause of Failure , Corrective Action –blank
9) The claim for Major component failed to provide photo information of old and new nameplates;
B. Registry/delivery report
1) No customer signature
2) Delivery date must be same as system.
3) Customer information input error or not filled in;
4) Warranty period is inconsistent with the input system；
5）Product serial number is wrong which does not match the attached.
C. Service Order/Job Order
1) Missing work order or no signature

2) Serial number wrong in Service Order or Job Order
D. Fail Components Inspection
1) Missing or external damage or description cannot match the physical part
7.3.2 Minor Error (mark “N”)
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A. Claims:
1) The meter reading in system may be incorrect, but does not affect the type of the claim.
2) Wrong service start/complete date
3) Labor Code- Incomplete
4) Failure Description , Cause of Failure , Corrective Action -Incomplete or Indistinct Description
5) Wrong claim type
6) For major component, the serial number of new and old parts is not filled in parts tab.
B. Registry/delivery report
1) Incomplete PDI checklist

2) Delivery Date -Claim within warranty period due to delivery date
3) Meter reading is different with system.
1) Other information is incomplete
7.3.3 Deduction of claim fund:
A. Claims
1) Audited claims, claimed out of the warranty periods under specific warranty code;
2) Improper or no supporting documents to justify the audited warranty claim;
3) Suspected Fraud cases due to Dealers irregularities and illegal operations that lead to questionable warranty claims
cases will be submitted to LIUGONG Overseas Business Center & Subsidiary management heads for actions. (Audited
claims to be debited, further actions depending on management and Global Warranty decisions.)
4) Duplicated Claims
5) The claim for Major component failed to provide photo information of old and new nameplates;
B. Registration/delivery report
1) Product serial number is wrong which does not match the attached---Registration form need to be unregistered
1) No service order
D. Fail Components Inspection
1) Missing components within the 6 months storage guideline.
7.4 Warranty Audit Responsibilities
7.4.1 Responsibilities of LiuGong Overseas Business Center
 LiuGong Overseas Business Center has the right to conduct warranty audits of dealers at the time and venue
specified by LIUGONG.
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 LiuGong Overseas Business Center warranty engineers can randomly select countries that have audit plans and
join audit activities of Overseas subsidiaries to observe audit quality.
 The warranty audit of service dealers is performed once a year in principle.
7.4.2 Responsibilities of LIUGONG Overseas Subsidiary
 LIUGONG overseas subsidiaries have the right to conduct warranty audits of dealers at the time and venue specified
by LIUGONG.
 In the first contact with dealers, Warranty Department of subsidiary should explain the audit’s purpose and plan to
dealers. Overseas Business Center can provide support or suggestions;
 All subsidiaries need to submit the dealer audit plan for the year to the Overseas Business Center Warranty Manager at
the beginning of the year.
 Overseas Business Center warranty engineers or subsidiary warranty engineers are responsible for preparing audit and
coordinates visits with regional service representatives and dealers.
 The results of on-site warranty audit shall be provided by Overseas Business Center warranty engineer or subsidiary
warranty engineer and provided to dealers' management for summaries after audit.
 Overseas Business Center warranty engineers or Warranty Department of LIUGONG subsidiaries are responsible for
providing audit feedback to dealers, and formally notify dealers of audit results and required rectification measures
through on-site audit summary meetings and audit reports.
 Overseas Business Center warranty engineers and the Warranty Department of subsidiaries should collect audit
findings and output an audit report. Submit the audit report to dealers within 3 weeks after on-site warranty audit, and
send a copy to the regional office.
 If audit score does not meet LIUGONG's basic requirements, the auditor of subsidiaries shall submit an audit report to
subsidiary service manager and Overseas Business Center warranty manager. For dealers that do not meet LIUGONG
's audit requirements, the regional or area manager should work with the dealer within 3 weeks based on the issues in
the audit report, and make corresponding measures plan or review report, and submit to subsidiary and Overseas
Business Center unit warranty team. Subsidiaries or HQ will re-audit the dealer within 9 months.
 The respective regional or area warranty managers and service managers of dealers are recommended to be
present for further discussion during the audit.
7.5 Audit Candidate Selection Process
Warranty engineers of LiuGong Overseas Business Center or warranty engineers of subsidiary select dealer for
on-site warranty audit using the following criteria:
√ Historical database of past audit results forming part of the prioritization basis for future audits
√ Region Hub recommendation
√ Dealer’s request
However, the following basic criteria are also considered in selecting a dealer for warranty audit：
 Dealer with high volume of paid claims
 Opinion of Warranty engineer responsible for warranty claims processing
 Dealers’ warranty claim volume
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7.6 Preparation of On-site Dealer Warranty Audit
Service dealer will be notified 30 days prior to the scheduled audit date. Service dealer will be provided with the total
list of claims for the 12 months period that they have submitted.
7.6.1 Claims Extraction
a) 10% of the total claims or min 50 claims will be selected with claims within one year of the repair date.
b) Claims will be randomly picked within set parameters to ensure proper representation of below distribution：
 New Warranty claim
 Goodwill Warranty claim
 Extended Warranty claim
 Campaign Warranty claim
 Mandatory service claim
If any abnormal activities and frequently recurring discrepancies are observed, use the “questionable” areas as
parameters for picking claims of similar nature for audit.
7.6.2 Audit Document Preparation
 Prepare a warranty audit checklist and fill in basic information according to the audited claims.
 Print out the audited claims through DMS, and print necessary and relevant attachments.
 Print out the registration sheet through DMS, and print necessary and relevant attachments.
7.7 Service Dealer On-site Warranty Audit Process
A key to the success of an on-site warranty audit is the understanding of the process flow in the dealer’s service department
and its warranty operation. This understanding facilitates tracing an error and its reason.
The flow of an on-site warranty audit process consists of the following activities：
7.7.1 First meeting—— Introduction Presentation
 The opening meeting is the beginning of on-site audit introducing the audit procedure and marking the official
start of audit.
 Members of audit team, managers, service managers and claim managers of auditee will attend the opening
meeting.
● Purpose& Content of the opening meeting:
√ Introduce the purpose, scope, and criteria of warranty audit
√ Introduce audit plan
√ Briefly introduce the method and procedures of audit
√ Identify communication method during audit
√ Ensure required supporting information and resources
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√ Carry out a brief leader speech in order to request and encourage proactively cooperation and
participation
7.7.2 Claim Information Verification
Basically, each warranty claim is required to have adequate supporting documentation, which matches with the
information given on the claim. Proof of the service repair job or part replacing event had been performed that
completed by looking through all relevant documentation listed below.
 Service report / Job card

 Job closing summary
 Work order / Job order form
 Delivery report
 PDI inspection report
 Warranty claim feedback report
 Photos of failure components
 Failure components within 6 months
 Repair invoice
 Sundry supporting documents
 Fail Components Record Book
 Mandatory Service report
 Failed components Scrapped record
7.7.3 Inspection of Failed Components
Dealers are expected to have some warranty failed components management system that covers record keeping, components
protection and tagging, storage and location, to failed components retrieval and disposal.
7.7.4 Audit Record
The auditor shall record audit process in paper or picture.
7.7.5 Audit Finding
a. Carry out Audit Finding

Audit finding is the result of evaluating audit record against audit criteria. The result may or may not be in conformance
with audit standards. Therefore, audit finding can indicate the result compliance or non-compliance with audit criteria.
Audit action to be taken

 The audited claims do not conform to the requirements of the terms of the warranty policy and approved, will be
deducted the difference amount according to the corresponding claims;
 Missing components within the 6 months storage guideline, (audited claim to be debited.)
 Audited claims, claimed out of the warranty periods under specific warranty code, (audited claim to be debited.)
b. Prepare for Audit Conclusion

Input audit findings to Audit scoring system.
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Note: Usage of scoring template and report details will explained to dealers during summative discussion stage.
c. Output Audit Result
7.7.6 Closing Meeting- Report Audit Result
The closing meeting is a conclusive meeting for on-site audit. It is generally be hold after the completion of auditing, audit
findings, and audit conclusions.
The purpose of closing meeting: Introduce audit result and announce audit conclusion.
Content of closing meeting includes as follows:

1) Restate the purpose, criteria and scope of audit
2) Put forward audit findings and point out each claim’s mistakes
3) Announce audit result
4) Discuss possible improvements and note what have been done well
After going through with the dealer on the summary of findings, recommendations to get problems rectified and to
improve dealer’s administration should be given during this discussion.
7.8 Claim Supporting Information & Audit Requirement Documentation
LIUGONG conducts periodic warranty audits with its dealers. These audits ensure that LIUGONG warranty
requirements are met and standards maintained. To permit a warranty service claim audit to be performed, some basic
documentation must be available at the dealership.
For all entries made on a warranty claim, the dealer must be able to present related documentation. The required
information can be retained in any manner, (computer file, paper, etc.), but must be kept for at least 36 months after receipt
of the warranty claim settlement notice. The required information varies slightly according to the category of each claim
audited. LIUGONG conducts not just the warranty audit but also includes review of the claim supporting information and
documentation.
The Service Department must provide the dealer’s warranty personnel with all correct service repair documentation
associated with a repair. It is important to have an understanding of the various types of repair documentation that can be
associated with a warranty repair. Knowing which repair documentation is required for specific repair will maximize
dealer’s warranty dollar reimbursement from LIUGONG subsidiary or LIUGONG overseas business center with minimum
communication and fast turn-around time.
Documentation Categories:
7.8.1 Documentation for all claim types
a) Product Registration Form/ Delivery report

After deliver construction machineries to the first end user, the dealer must accurately and completely fill out relevant
information of the overall machine in registration form or delivery report, and precisely record the warranty
period ,customer information ,delivery date and meter reading to the first user. Both parties of the dealer and the end
user must sign an agreement for confirmation. The Service Department takes the overall machine registration as a
certificate of quality inspection.
b) Service Report / Job Cards (Output Template)
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The service report / Job Card is completed by the service technician and used to document the engine/machine
information and failure information.
Service Report shall include follows:

1) Product, model, serial number, meter reading, Failure date, service start date o, service complete date ,departure venue
and repair venue.
2) The service report should also indicate the customer complaint, the failure description, the analysis of failure, and a
detailed description of the repair process.
3) Service report should be signed by user after service completion.
a) Job Closing Summary Report / Job Order Form / Work Order Form
The job closing summary report is generally a summarize document for a particular job. It is an itemized list of all
charges associated with a repair service work order, which includes parts, labor, travel mileage, sundry items, and the
repair dates. This information can be obtained from the work order & the service report. The service department
provides a print out for the product’s history and/or warranty folder upon completion of the repair. (If applicable)
b) Supporting Documents/Photos
Dealers are to keep copies of supporting documents and photos (electronically) for all service claims in the dealership.
This will be required for inspection during the field warranty audit or as and when require for submission to
LIUGONG for verification.
c)Stock maintenance record

For all LIUGONG machine that are stored for more than 1 month are require by dealers to do a physical maintenance
checks and protection, all the records of the maintenance are to be filed for audit check.
d) Parts Outbound Order/ Picking List

Parts Outbound Order is a record of the parts used by the dealer for the warranty service. This bill contains the service
order number, product serial number , part serial number, and the quantity.
For details, please refer to Annex 2: 9. Parts Outbound Order
e) Financial Record/Service Bill

Dealer's own warranty service cost record, this bill contains service order number, product information, parts, labor,
miscellaneous charges and repair details.
For details, please refer to Annex 2: 10. Service Bill
7.8.2 Documentation based on failure & its repair
a) Repair Invoice
This document must be available for parts warranty claims involving new parts, which were purchased by the customer
as part of a service department repair. This document is either a purchase invoice issue to the customer or a copy of the
history document from service department for the installation repair in the workshop for that particular equipment.
The service department reviews a previous repair invoice for new parts used and the repair detail, which may be
associated with the current repair. The invoice is used to determine if parts warranty applies based on the date of purchase or
installation. This document includes service order, customer information, product information, parts, labor, miscellaneous
expenses, and repair detail.
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b) Parts Sales Invoice
This document must be available for parts warranty claims involving parts, which were purchased over the counter by
the customer through the LIUGONG subsidiary or HQ Authorized Dealer’s parts department. This document is used by
service department to determine if parts warranty applies based on the date of purchase and the nature of failure. A copy of
this document must be obtained from the customer at the time of the repair for the dealer’s files. The invoice will include
the customer’s name, the sale date, the part number and name of the part.
c) Documentation for Special Repair Expenses
The following documents may be required to be on-file based on the dealer’s repair expenses. When applicable, these
documents provide proof of the dealer expense when itemized on a service claim for LIUGONG subsidiary or Overseas
Business Center reimbursement
d) Outside Purchase Invoice (Sundry Cost)
This document is a paper invoice from an outside vendor. The service department uses this invoice to identify parts
and/or labor from an outside vendor associated with a repair. This document comes in various formats and sizes. This
document should include, when applicable, a detailed part(s) list and price, total labor hours and price, and an explanation
of work performed.
7.8.3 Others documentation/description explanation
a) Delivery Date
The product delivery date must be available in the dealer system. It is usually found in the dealer’s machine file or on
the delivery record form. The delivery date must be obtained and confirmed at the time the work order is opened. This can
be from a bill of sale and delivery report.
b) Serial Number
Claimed expenses must be related to the serial number shown on the claim. This relationship must be documented.
c) Service Requested Time: The time of receiving the customer's repair request;
Service Start time: Repair starts time(Time is required to detail to minutes.)
Service completion time: Failure repair completion time ( Time is required to detail to minutes)
d) Machine Hours
Machine hours must be recorded. They must be available and documented in the machine history file or on a Service
Report or any service-related document.
e) Part Hours
Part hours, if different from machine hours on the claim, must be documented. This documentation may consist of
previous repair records, service reports or any service-related document.
f) Parts Claimed
The list of parts used for a specific repair will be audited. The only valid document for repair expenses is the one
produced after work order closing, and it must clearly show the quantity and part numbers used.
g) Parts Disposition
The replaced parts must be available for technical inspection. If a part cannot be provided for future inspection, this
must be mentioned in the comments at the time of claim submission in the claim story. When a claim is submitted, you are
required to hold the associated parts for 6 months starting from the repair date
The replaced fail parts must be destroyed after 6 months. It must not be reuse or sold (except as scrap) without the
agreement of LIUGONG subsidiary or HQ.
h) Labor
Justification of labor claimed must be available. The individual labor time claimed must be identified for each specific
repair.
i) Others Expenses
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Sundry expenses claimed must be documented. Outside suppliers’ invoices must be available for review of the
expenses claimed. The documentation provided to the auditor can be from any reliable source (computer or paper files), but
must contain adequate identification and detail
7.8.4 Service Reports
A report generated at the time of the repair is required, showing the part causing failure, group number, description
code and service meter hours/miles/km. It should indicate the complaint, the cause of failure and the repair method used.
Comments should include details of why parts or components were replaced and justification for labor operations involved.
7.8.5 Explanation of Extended Warranty

For product where an extended warranty agreement was obtained, a copy of commitment outlining details of the
extended warranty should be on file.
7.9 LIUGONG Audit Scoring System
The LIUGONG Audit Scoring System is used to evaluate the result of a warranty audit. This system is a 10 points
warranty index scale with 10 as the best possible rating. The system covers a general checklist of items that need to be
checked. These areas of information correspond with the repair documentation required for a warranty claim. The system
template and the checklist can be found in the Annex Section.
7.9.1 How the Scoring System Works
The scoring system comprises the following worksheet and reports：

a) Initial Input Worksheet
 Claims audited are registered in this worksheet and reviewed against the 19 audit items
 If there are errors identified on the above listed areas, an “N” is entered in the appropriate box when there is
minor error associated with the error – the error will not result in debit adjustment or credit reversal.
 A “1” is entered for error identified as major effect error that results in a possible debit adjustment or credit
reversal.
 Please refer to 8.3 warranty audit rules for judgment rules
b) Report A
 The data from the initial input worksheet is grouped and transferred to this report as summary.
c) Report B
 Dependent on the severity of errors, these 19 audit items are grouped into 6 broad categories and each
category has a weighting factor attached to it.
 The total amount of errors listed for a category, multiplied by the category weighting factor gives a category
score.
 The sum of all category scores gives a “warranty evaluation score”. Dividing the warranty evaluation score
by the number of claims audited and subtracting the result by 10 gives the warranty index (10 point scale).
d) Report C
For each if the errors found that has major effect, the amount of debit is entered under this report, along with a
comment on what was found wrong.
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7.9.2 Score Interpretation
A rating of 9 or higher indicates dealer’s warranty operation is in excellent level and a rating of below 6.0 indicates that
the audited dealer needs close follow-up and advice to improve its warranty operation and possible of re-audit.
Annex1: Engine Warranty Policy
1. General Warranty Policy for Engines
LiuGong extends the warranty policy of the engine manufacturer for the engine which is installed on LiuGong
products. The standard machine warranty does not automatically apply to engines installed as original equipment in
LiuGong Construction Equipment machines. By contractual arrangement, the warranty terms and conditions differ with
engine each manufacturer; dealers should contact engine authorized service provider on the local market to determine the
scope of warranty agreement, the terms and claim procedure.
THIS MUST BE DONE PRIOR TO START OF ANY REPAIRS – failure to inform engine service supplier or
LIUGONG before work begins may result in a partial or complete voiding of warranty and any obligation of LIUGONG to
cover warranty work done.
2. Cummins Engine warranty
Cummins Engine warranty service includes two aspects
2.1 LIUGONG Self Service
a) Engines list of LIUGONG develop self service

Engines model include current or previous models of B3.3L, B3.9L, B4.5L, B5.9L, C8.3L, QSM 11, L9.3 , QSB
6.7L, QSB 7L, L8.9, QSB4.5, QSB5.9, QSC8.3, QSL9.3, QSF3.8,QSB7、B7、L9-L、L9-H、NT855 、QSL9 series,
except tier-4 interim or tier-4 final (or equivalent) compliant engines.
b) Territories of the LIUGONG develop self service
Covers all territories excluding：
LGAP: Australia, New Zealand
LGCA: Japan, Korea
LIPL: Nepal, Bhutan
LGEU: Austria, Belgium, Denmark, Finland, France, Germany, Iceland, Republic of Ireland , Italy, Luxembourg,
Malta, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, United Kingdom, Albania, Bulgaria,
Croatia, Czech Republic, Estonia, Greece, Hungary, Latvia, Lithuania, Montenegro, Poland, Republic of
Moldova, Romania, Serbia, Slovakia, Slovenia, Turkey
LGNA: USA,Canada,
Central America: Mexico,Guatemala,Honduras,Nicaragua,Costa Rica,Panama, El Salvador

c) The warranty types in LIUGONG self-service region are as below, all these costs can be claimed only once per
failure.
● Repair labor cost=SRT(standard repair times)*repair labor rate(same with the rate that use in campaign claim)
● If a SRT description notes two technicians are required, the SRT already includes the additional labor time and
no additional labor time is to be claimed.
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● Mileage cost=mileage*mileage rate(same with the rate that use in campaign claim)
● Past＇s cost= past＇s unit price*number of parts* past＇s markup
● Travel time cost=travel time*labor rate(same with the rate that use in campaign claim)
● Travel cost：
 Travel cost is covered only when stated in a specific coverage description；
 Warranty reimbursement is from the failure point to the closest authorized repair location；
 Reimbursement for dinner/lodgings is allowed per 10 clock hours (SRT+Travel time) within a 24
hour period, unless otherwise mandated by local law in which the Warranty service is being
performed. Reasonable commercial travel costs are claimed in the meals/lodging block and
reimbursed at actual cost, including fares, lodging, tolls and meals. These must be itemized in the
claim story.
d) Coverage:
The warranty start date is the date of delivery of the engine to the first retail purchaser, or the first use of the engine
in a leased, rented or loaned unit, or when the engine has operated 50 hours, whichever of the three occurs first.
e) Power Unit Coverage:

If the following parts are assembled by OEM, OEM provides warranty for these parts.
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f) Limitations:
• During the Base Engine Warranty, Cummins allows travel from the nearest authorized repair location to the job
site to repair a warrantable failure.
• The Extended Major Components Warranty ONLY covers failed major components and progressively damaged
major components.
• Owner is responsible for the cost of all parts required for the repair except for the defective Covered Part and
any Covered Part damaged by a Warrantable Failure of the defective Covered Part.
• Failures of belt(s) and hoses supplied by Cummins are not covered beyond the first 500 hours or one year of
operation, whichever occurs first.
• Starters and alternators are covered under this warranty.
• For all A Series applications, including industrial, travel reimbursement for non-transportable equipment will be
limited to 4.0 hours, $0.25/mile and 250 miles maximum. Any costs beyond this limit are the customer's
responsibility.
g）Engine assembly replacement
Replacement of the engine assembly is only allowed in the event of a major engine failure (i.e., it is an important
part of the block or crankshaft that is damaged). Replacement of the engine assembly without a major engine
failure is not covered by the warranty.
After replacing the new engine, a quality information form (including photos of the nameplate of the new and old
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engine, photos of working hours, clear photos of the defective parts, detailed description of the cause of the failure,
etc.) must be provided to LIUGONG overseas business center Service Department within 5 working days to
ensure that LIUGONG overseas business center Service Department can make a claim to Cummins in a timely
manner to avoid losses due to exceeding the Cummins claim time limit.
2.2 Cummins dealer network service
a) Territories:
LGAP: Australia, New Zealand
LGCA: Japan, Korea
LIPL: Nepal, Bhutan
LGEU: Austria, Belgium, Denmark, Finland, France, Germany, Iceland, Republic of Ireland , Italy, Luxembourg,
Malta, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, United Kingdom, Albania, Bulgaria,
Croatia, Czech Republic, Estonia, Greece, Hungary, Latvia, Lithuania, Montenegro, Poland, Republic of
Moldova, Romania, Serbia, Slovakia, Slovenia, Turkey
LGNA: USA,Canada,
Central America: Mexico,Guatemala,Honduras,Nicaragua,Costa Rica,Panama, El Salvador
b) Models
Exclude current or previous models of B3.3L, B3.9L, B4.5L, B5.9L, C8.3L, QSM11, L9.3, QSB6.7L, QSB 7L, L8.9,
QSB4.5, QSB5.9, QSC8.3, QSL9.3, QSF3.8 series, include tier-4 interim or tier-4 final (or equivalent) compliant
engines.
c) Base engine warranty terms and extended major components warranty terms, both are equal to LIUGONG
self-service model warranty terms and condition.
3. Yuchai Engine Warranty
3.1 Coverage of engine self service: all Yuchai engines overseas and assembled on Liugong equipment
3.2 Warranty period：1 year or 3000 hours from delivery date to the end user, whichever comes first.
Part Assembly and parts description Warranty period

Category (whichever comes
first)
Cylinder block，Cylinder head,Crankshaft,Camshaft,Flywheel

Category A 2yrs /3000hrs
housing,Gear chamber & cover,Various gears,Connecting rod
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Cylinder head cover,Valve,Valve seat ring ,Valve bridge,Valve
guide,Valve spring,Rocker arm,Push rod,Tappet,Locking
block,Connecting rod parts,Rocker arm,Pulley vibration damper,Idler
shaft,Signal panel,Air inlet connecting pipe,Drive shaft of injection
pump,Flywheel ring gear,Flywheel,Air inlet pipe,Exhaust pipe,Piston
pin,Fuel distributor,Oil cooler,Oil pump,Water outlet pipe
Category B 1yr/2000hrs
assembly,gnition timing drive device,Oil sump,Pressure plate,Various
connectors,fuel pump,turbocharger,steering pump,fuel delivery pump
(electronic control system),Electronic control Injector,Tensioner
Pulley,alternator,start motor,water pump,Cylinder head
gasket,Crankshaft front and rear, oil seal,Fuel shut-off Solenoid,air
compressor,thermostat,Controller /（ECU、ECM、SCR）
High pressure fuel pipe/connecting pipes,Piston,Cylinder liner,piston

ring,Injector Shell,clutch pressure plate,Bearing shell,Fuel & air
separator,Crankshaft thrust plate (shell),filter seat,Engine suspension
cushion,Ignition control module,Mixer,catalysis Muffler,Electronic
throttle valve,Electronic pressure regulator,Ignition coil,Hight pressure
reducer,Low Pressure Fuel Shut-off Valve,High pressure
solenoid,Anti-surge valve,Wiring harness of electronic control
Category C 6 months /1000hrs
system,Exhaust gas bypass control valve,various sensors,Common rail
pipe,Metering jet pump,Ad-blue Nozzle,nozzle holder,air cleaner,idle
speed governor,Idle speed solenoid,oil strainer (strainer screen is not
included),Water drain valve parts,Nozzle weldment,Ignition control
unit,CFV valve,High pressure decompression valve,regulator,high
pressure Filter,low pressure Filter,Gas mixing control unit,Gas injection
assembly,Catalytic muffler,Electronic accelerator pedal
breather,Clutch driven plate,Throttle flexible shaft,valve oil

seal,pressure regulating valve,Air heater,Cooler seal ring,Idle speed
lifter,wedge type belt,Vacuum idle speed valve,High voltage wire,EGR
vacuum control valve,Pre-heater,Silicone oil fan,Spark plug,low pressure
Category
fuel pipe,Lubricant oil pipe,various rubber pipes (Clips),monitoring 3months /500hrs
D
instrument of diesel engine,Common V-belt,Diagnosis indicator
lamp,Gasket of exterior parts,Oil sensor plug,Screw plug of oil filler
cover,All washers,Ignition coil rubber cover,water temperature sensor
plugs,Coupled parts of fuel injection nozzle
4. Yanmar Engine Warranty
4.1 Warranty
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1) Yanmar warrants that the Engine is reliable and safe and is free from defects in material and in workmanship during the
Warranty Period based on the installation evaluation result of a sample engine conducted by LIUGONG and Yanmar as
well as the specification of mass production engine. If a Claim is covered by the Warranty, Yanmar shall compensate the
LIUGONG for the costs of repair.
2) As a first priority, LIUGONG carries out the warranty repair for the Engine. However in case Yanmar is requested
from the owner, who owned Yanmar labeled engine, to carry out the warranty repair for the engine where LIUGONG
cannot take care, Yanmar carry out the warranty repair job from customer satisfaction point of view upon request from
★　YANMAR
Worldwide Distributor Network List.xls
LIUGONG. Yanmar overseas service sites information:
3) LIUGONG supply the spare parts necessary for the warranty repair of the Engine according to the Parts Supply
Agreement set forth separately. However in case Yanmar is requested from the owner to carry out the warranty repair for
the engine due to the above reason, Yanmar supply the spare parts necessary for the repair from customer point of view.
4) In case Yanmar Dealer carries out the warranty repair, the claim is to be processed via the normal Yanmar warranty
route or LIUGONG route depending on the case.
5) In the event of an identified successive or continuing problem, Yanmar will endeavor, through countermeasures, to
resolve the problem mitigating any detrimental effects towards the LIUGONG.
6) It could be that it is necessary to replace an engine at the request of the User. In this case, the replacement engine, as a
“Yanmar Branded” engine can be supplied through the LIUGONG service network.
7) In the event of failure occur to the engine, Yanmar accept to replace the engine only for the following case with prior
acceptance from Yanmar.
(a) Total expense exceed 80 percent of the purchasing price of the engine
(b) Failure occurs at the remote site where Yanmar or LIUGONG have a difficulty to reach such site.
(c) Considering the emergency and/or the situation, the replacement of the engine deems appropriate.
4.2 Warranty period
The warranty period of the Engine shall terminate one of (1)-(3) below, whichever comes earlier:
(1) 36 months after the Engine product date.
(2) 24 months after the date of sale of the Product by LIUGONG or authorized dealer to its user
(3) Up to 2000 operation hours of the Product by the user of LIUGONG
(4) Extended warranty: Extended warranty is providing for these specific parts: The cylinder block, cylinder head,
crankshaft, connecting rods, flywheel, flywheel housing, cam shaft, timing gear, and gear case. These listed parts are
warranted for a period, beginning with the date of delivery of the new Yanmar engine to the first retail purchaser of 36
months or 3000 operation hours, whichever comes first.
4.3 Exemption from Warranty
The Warranty does not apply in the following cases:
(1) Accidental or consequential damages including but not limited to:
- Damages due to natural disasters or force majeure
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- Loss of harvest/crops
- Loss of personal properties
- Loss of expected profit
- Damage due to the loan of the substitute produce, and commercial loss
(2) Defects to re-sold Products; i.e. Products sold by the User to a third party.
(3) Failure due to neglect of correct handling and maintenance as described in the Yanmar 'Operation Manual' or
other instructions by Yanmar.
(4) Failure due to intentional fault.
(5) Failure due to operation without a seal or other fuel limiting device or other abnormal operation that does not
comply with the specifications made by Yanmar.
(6) Failure due to modification or improvement not approved by Yanmar.
(7) Failure due to the use of parts other than Yanmar genuine parts, or fuel, lube oil and cooling water (including
anti-freeze) not comply with recommended specification by Yanmar.
(8) Failure due to inadequate maintenance and servicing. This includes lack of, or too little lubricating oil or engine
coolant.
(9) Failure due to repair conducted by service shops other than those of LIUGONG or a Yanmar Distributor or those
designated by LIUGONG/Yanmar.
(10) Natural bleaching out and rusting (on painted or plated surface, etc.) with the lapse of time.
(11) Phenomena like sound, vibrations or insignificant flaws to appearance, which are deemed not to affect the
functions of the Engine.
(12) Claims lacking adequate information for judging the problem, or cases where the damaged parts are lost.
(13) Defects in consumable parts, such as, but not limited to, filter elements, injection nozzles, V-belts, gaskets, hoses,
preheating plugs, oil, grease, fuses and brushes, etc.
(14) Failure induced by the faulty matching of the machinery with the Engine, or failure spread from the defective
machinery.
(15) Failure caused due to improper storage or handling.
(16) Sample (Prototype) and monitor engine.
5. Perkins Engine Warranty
5.1 Warranty Period
The warranty period of the Engine shall terminate one of (1)-(3) below, whichever comes earlier:
（1） 48 months after the Engine product date.
（2） 24 months after the date of sale of the Product by LIUGONG or authorized dealer to its user
（3） Up to 3000 operation hours of the Product by the user of LIUGONG.
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（4） Warranty period of Alternator and Start motor are 12 months.
5.2 Warranty Details
（1） Engines that are considered Project or Prototype are not covered by Perkins standard Warranty.
（2） Parts warranty: if the part was replaced in Engine warranty period, the warranty period is consistent with the
engine; if the part was replaced out of Engine warranty period, the warranty period is 12 months.
5.3 Perkins provides direct warranty support for their engines through its global Dealer network. Please search from
www.Perkins.com if you have any service requirements.
6. Weichai Engine Warranty
（1） Standard warranty:

Wheel Loader,Road machinery : Weichai provides limited warranty coverage for a period of 1 year or 2400 hours
to the end user, whichever comes first.
Bulldozer: 12 months unlimited hours.
（2） Cylinder block, ,crank shaft,camshaft ,link ,crankcase,Cylinder head,flywheel housing, Timing gear chamber:
24 months unlimited hours.
（3） Belt, protecting ring, nozzle, plunger coupling, gaskets, hoses, clamp: 1 month.
（4） If the construction machinery meter reading is damaged, the warranty period is calculated by 10 hours per day.
（5） "conditional quality Assurance" refers to the users whose scope of warranty is limited to compulsory
maintenance for more than 5 times, oil and other accessories purchased by Weichai during the warranty period;
Failure to meet the requirements shall be performed for half a year or 1500 hours.
（6） Weichai provides direct warranty support for their engines through its global Dealer network. Please search
from www.weichai.com if you have any service requirements.
7. Xinchai, Nissan, Mitsubishi Engine Warranty Policy

（1） LiuGong provides overseas service for Xinchai , Nissan , Mitsubishi Engine.
（2） Warranty period: 1 year or 2000 hours from delivery date to the end user or 30 months from the date of shipment
from the originating factory, whichever comes first.
8. Shangchai Engine Warranty
(1) LiuGong provides overseas service for Shangchai Engine.
(2) Warranty period: 1 year or 2000 hours from delivery date to the end user or 30 months from the date of
shipment from the originating factory, whichever comes first.
9. Isuzu Engine Warranty
Isuzu Engine warranty and its service dealer network information please check through www.Isuzuengines.com
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10. Other Engine Warranty
For other manufacturers’ engine warranty codes, if there is a local manufacturer’s authorized service provider, get in
touch with the service provider for details of warranty terms and claims. Otherwise, contact LIUGONG's service
representatives.
Annex 2: Warranty Business Document
1 Limited Warranty Certificate
Limited Warranty Certificate
Guangxi LIUGONG Machinery Co.Ltd.
This limited warranty is extended by Guangxi LiuGong Machinery Co., LTD. (Hereinafter referred to as “LiuGong”) in respect of equipment
manufactured by LiuGong (“Hereinafter referred to as Equipment”) sold by any authorized subsidiary or distributor, this limited warranty has
the same legal effect with WARRANTY AND SERVICE POLICY. Equipment includes all components except the following:1. The periodic
replacement parts: Oil plants, coolant, refrigerant, grease, all kinds of filters, filter screen, wiper blades, rubber part (including but not limited to
rubber track and rubber sealant), and gasket. 2. Wear-out parts under normal use: pin shaft, axle sleeve, bucket and bucket teeth, grease nipple,
friction sheet, rubber pad, brake block, blade sheet. 3. The vulnerable parts: glass, rear-view mirror, lamp, fuse, battery (excluding electric
forklift), clutch friction plate, and sliding block. 4. Others: Non-warrantable items mentioned in diesel engine warranty manual, attachment parts,
attachment tools, standard fasteners, O rings. 5. Engine manufacturer is responsible for engine warranty service. 6. Antifreeze, hydraulic oil, and
lubricating oil that is supplemented or replaced. 7. Transportation, loan, and rental costs. 8. Attachments and motive battery chargers not
manufactured by either LiuGong or any of its subsidiaries, provided however, LiuGong extends to the customer the benefits of any warranties (if
any) of the manufacturers or suppliers of any of the excluded items.
LiuGong warrants that Equipment will be free from defects in workmanship and material for a period commencing on the earlier to occur of either
(a) the date of the initial delivery inspection certificate, or (b) the first commercial use of Equipment, and ending on the earlier to occur of either
(c) 1 year from delivery date, or (d) 2000 hours from delivery date, or (e) 30 months from the ship date from the originating manufacturing
facility, after such date. LIUGONG or its authorized representative will replace free of charge the defective component(s) or part(s) of Equipment
through standard warranty reimbursement. LIUGONG retains the right to the return of such defective component(s) or part(s), or photograph(s) at
its sole option. All machines must complete pre-delivery inspection (PDI) and The product registration to put warranty into effect.
This warranty applies only if allegedly defective Equipment has been properly operated and maintained. This warranty will not apply if the
alleged defect is attributable to a modification or repair of Equipment made, or a component part, or attachment supplied, by any person other than
LIUGONG or any of their subsidiaries or the authorized representative of any of the foregoing.
This warranty is exclusive and in lieu of all other warranties (including, without limitation, express or implied warranties of merchantability or
fitness for a particular purpose). If components or parts of Equipment fail to conform to this warranty, the customer’s exclusive remedy and
LIUGONG’s sole responsibility is, at LIUGONG’s option, repair or replace such non-conforming components or parts, and LIUGONG will have
no monetary liability whatsoever for any damage, loss, cost or expense (whether general, special, incidental or consequential) suffered or incurred
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by the customer as a result of or in connection with Equipment. No employee or representative of LIUGONG has the authority to either change or
extend this warranty, except in writing signed by a corporate officer of LIUGONG.
LIUGONG Machinery Co., Ltd.

Overseas Business Center
No.1 Liutai Road, Liuzhou, Guangxi,
545007,China
Form 20200101WC
2 Labor Code Application Template
Adding Labor Code Application Form
Subsidiary
Submitter
Submit date
Model Product s/n
Part Causing Part #

Problem Part name
Reparation
description
1. Air conditioning and heating

Group
_ 2. Air intake & exhaust
3. Automatic lubrication system
4. Brake and air system
5. Cab, guard & interior controls
6. Cooling system
7. Electrical system
8. Engine
9. Frame and chassis
10. Fuel system
11. Hydraulic system
Suggestion labor 12. Blade/Dozer/Scraper/Drum
__(hour) 13. Attachment
hour by submitter
14. Transmission - Powertrain
15. Steering system
16. Wheel and axle
17. Undercarriage
18. Swing Frame
19. Boom, Arm and Bucket Group
20. Ground engaging components
21. Roller Watering System
22. Roller and Drum
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23. Others
Suggestion labor Suggestion component

hour by factory code by factory
Component
Component
description
description(English)
(Chinese)
All Models of All Product Lines

All Models of Loader
All Models of Excavator
All Models of Motor Grader
Relational Models All Models of Road Roller
（1） All Models of Forklift
All Models of Backhoe Loader
None of the Above.
If you select "None of the Above", please fill in the table below for specific models and
corresponding labor hours.
Model
Hour
Relational Models
（2） Model
Hour
Create person Create date
New Labor code
Official labor
hour
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3 Warranty Registration Form
Machine Serial Machine Model

Machine Hours Delivery Date(D/M/Y)
NO.
Sale Type
___Demo Hrs>150 ___New Retail Sale ___Remnufactured ___Rental ___Transfer ___Other Type
Customer Type
__Local City Government __Other Market __Private Contractor/Owner __Utility Company
__State/Provincial Government __Federal Government __Global KA __Regional KA __Chinese Owned

KA
Application
__Environment Waste Disposal __Agriculture __Forestry __Engineering Construction __Industry

__ __ Equipment Service __Mining __Quarry and Concrete
Customer Subsidiary/ Dealer
Owner Name Contact Person Subsidiary/Dealer Name
Address Address
Country City/state/zip Country City/state/zip
Phone E-mail Phone E-mail
*Standard warranty period
√ Check One: □ 1year /2000hrs □ 1year /4000hrs □ 1year /6000hrs □ 2year 3000hrs
□ 2year 4000hrs □ 2year 6000hrs □ 3year 3000hrs □ 3year 4000hrs
□ 3year 6000hrs □ other
The machine was properly set up, adjusted and inspected before delivery in accordance with the Manufacturer’s
Instruction for this machine.
The following items were explained to the owner.
(a) Proper operation procedures and the instructions given in the Operator’s Manual.
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(b) The importance of safety precautions, safety equipment and preventive maintenance.
(c) warranty start date refers to the date on which the machine is delivered to the first end user, or the date on which
it is used for the first time in the lease, lease or loan of the machine, or the date after 150 hours of operation of the
complete machine, or the date after 18 months of the delivery from the factory of the machine, whichever occurs
first.
(d) Necessity for operator 's manual to be kept with the machine at all times.
_______________________________________________________________________________________
Signed(Dealer) Print Name Date D/M/Y
I have received and reviewed the Operator’s Manual for the above machine and understand the
proper and safe operation as well as the maintenance and requirements for this machine.
I also understand the warranty policy as described above.
______________________________________________________________________________________
Signed(Owner) Print Name Date D/M/Y
REGISTRATION MUST BE SUBMITTED TO LIUGONG DMS SYSTEM WITHIN 30 DAYS FORM THE DATE
THAT THE EQUIPMENT DELIVER TO THE OWNER.
Guangxi Liugong Machinery Co., Ltd

No.1 Liutai Road, Liuzhou, Guangxi, China 545007
Tel：+86-772-3886556 E-mail: professional@liugong.com
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4 Warranty Claim Form
General Information
Dealer Code Claim Date Service order No.
□ Standard Warranty □ Extended Warranty □PDI □Pre Sales Claim □ Campaign Service
Type of Claim
□Preventive Maintenance □ Service Activity □Goodwill Warranty □ Special Warranty
Dealer Information End User Information
Name Name
Address Address
Contact Name Contact Name
TEL TEL
Email Email
State State
Country Country
Machine Information
Model Serial No. Hour Meter
Warranty Inception Date of Failure Date of Repair
Failure Information
Describe: 1) Symptom/Customer Concern, 2) Problem/Failure, 3) Repairs/Correction, 4) Probable Cause, 5) Recommendations
1.
2.
3.
4.
5.
Parts & Material
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Machine
Status √Check One: □ Unit Down waiting parts. □ Operational waiting parts □ Repaired with stock part
Part Number Quantity
Item Name of Defective Part Part Serial Number
Used
(* Primary Part Causing Failure)
*
1
Additional Failure Description Information:
Insert Insert Picture

Picture Showing
showing Machine
machine Nameplate
Insert Insert Picture

Picture of of Primary part
Hour Meter causing failure
Additional
Pictures
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GUIDELINES:
a. Machine must be registered for warranty if hour meter is greater than 150.
b. Primary part that caused the failure must be defined.
c. Claim must be received within 45 days from the date of failure.
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5 Quality Report Template
Quality Report
Date:
Reporter:
一、 Machinery Information
1. Product Model, Serial Number, Country, Hour Meter, Failure Date (Required)
Model Serial Number Country Hour meter Failure Date
2. Machine Nameplate, Failure Parts Label (Engine failure, transmission failure, axles failure must provide with label
or serial number.), and Photo of Hour Meter. (Required)
3.Maintenance record, working temperature, working years of operator (Optional)

Note: In the case of extreme hot/ extreme cold, working temperature is required.
Note: If a batch quality problem is found, you only need to list the details of one machine and list out serial number and
failure hour meter for other machines. (Minimum 5 machines are considered as a batch.)
二、Working Condition
1. Working Venue& Loading Materials (Required)
2. Working Condition Photos （Required. If photo is hard to explain, videos are allowed.）
Note: If a failure working condition is different from other conditions, a detailed description of the failure working
condition is required.
三、Failure Description& Loss

1. Customers Complaint Details& Losses (An accurate, comprehensive and detailed customer feedback record
without any subjective judgment is required.)
2. Field Inspection (Service engineer should preliminary observe the failure after arrive at the field. This is mainly to
carry out a supplementary explanation on the failure with text and photo. )
3. Machine’s working condition when a failure happens. (Optional)
四、 Field Inspection& Repair

1. Check the logic, verify photos of key parameters, analysis failure causes. (Required)
2. Photos of faulty parts including its location and details (photos of near view and far view). Photos of damaged
part’s label. (Required)
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3. Photos of repairing process and others.
五、 Failure Cause Description (Required)
六、Problem Shooting Requirement (Required)
Requirements:
1. The photo content must be clearly visible.
2. The font size should be 12.
Case:
Quality Report on Forklift Overheating
一、 Machine Information
1. Model, Serial Number, Country, Hour meter, Failure Date (Required)
CLG2030H，BT007665，土耳其(Turkey)，1121.4H，2012.5.5
2. Machine Data Plate, Failure Parts Label(If any), Photo of Hour Meter(Required)
3. Maintenance Record, Working Temperature (Optional) Note: In the case of extreme hot, working temperature is
required.
Working Temperature: The highest temperature of the day is 35C.
二、 Working Condition
1. Working Venue& Loading Materials (Required)
Garbage yard, lifting garbage bags, cotton floats in the air
2. Working Condition Photos (Required)
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三、 Failure Description
1. Failure Description(Required)
The engine is always overheated after an hour working every day. Restart after half an hour of rest, engine overheating
occurs again in about 40 minutes. Water temperature from the meter is close to alarm temperature.
四、 Field Inspection& Repair

1. Check the logic, verify photos of key parameters, analysis failure causes. (Required)
The coolant level, fan belt, and thermostat are all in a normal state.
The Status of Radiator: Normal
The spacing between fan and air director is abnormal, which is too far compare with other similar parts.
● Photo of Radiator Status
● Photos from Fan to Air Director (Any other similar parts should be included.)
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2. Failure Photos
3. Repairing Description (Required)
Install a spacer block between the fan and the engine. The fan is covered in 1/3 of the air director. The temperature of
engine water is reduced by about 10C.
4. Cause Analysis& Suggestion

A large spacing between fan and air director results in insufficient air input volume, which causing overheating.
Ensure the fan is covered in 1/3 of the air director before sales.
6. Major Accident Report
Major Accident Report
Machine Information
Date of
Model Serial Number
Accident
Warranty
Delivery Date Expiration Date
Mileage
(M/D/Y)
(M/D/Y)
Name/
Reporter&
Code of Country
Contact
Dealer
Accident Information
Description
Cause&
Measurement
Customer
Expectation
Photos (Photo files need to be compressed before pasting.)
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Photo 1
Photo 2
Photo 3
Photo 4
7. Service Order Template
Service provider： Order No .:
Address： Date：
Tel： Fax：
Customer Information
Name Country&Area
Contacter Address
Tel Email
Machince Information
Product Name Model
Serial No. Warranty start date
Service Requested
Warranty (Y/N)
Time
Meter Reading Fault Date
Sevice Information
Time and place of Time and place

departure of arrival
Mileage Service Start time Y M D H M
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Service Complete
Y M D H M
Time
Failure Information
Failure
Description
Cause of
Failure
Corrective
Action
Parts Information
# Part no. Part name Part serial no. Quantity Rplace or Repair
Other Information
Customer
satisfaction □ Very satisfied □General □ Dissatisfied
Customer Signature： Engineer Signature：
Date： Date：
Remark：
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 In order to analyze product faults quickly and effectively, improve product quality, all claims
need to provide failure picture information.
 In order to claim for compensation from Liugong smoothly, the service technician should take some clear
pictures when repairing the machine in the warranty period. Includes :Working condition picture, nameplate
of machine picture, nameplate of engine picture (only for engine failure), machine meter reading picture,
faulty parts picture, repair process picture (at least 1), nameplate of key faulty part, and comparison picture
before and after repair if appearance problem.
8 DMS user ID & Warranty rate Application form for dealer
I agree not to share my unique user ID and password and I agree that I shall not share any information I find within the DMS
System site with any competitors of LiuGong. By signing this agreement I understand that any violations or misuse may result
in criminal and/or civil charges.
A dealer may request the revision of its warranty rates one (1) time in a calendar year. In the event of Dealer(s) rate request
change, LiuGong is to be notified using this form. All Dealer warranty labor rate(s) must be approved by LiuGong prior to
taking effect. LiuGong reserves the right to change the warranty reimbursement rate and polices with allowing advanced
written notification.
Applicant's signature: Date：
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9. Parts Outbound Order
Parts Outbound Order
Dealer：
Service Product Engine

Date
order SN SN
No. Part Name Part No. Part SN Quantity Unit price Parts Amount
Operated
User：
by:
10 Liugong Service Bill
Liugong Service Bill
1 Date: Service Order No.：
2 Product SN：
3 Labor Amount:
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4 Mileage Amount:
5 Parts Amount: Parts NO. : QTY：
6 Other Amount Other items: 3
7 Total Amount:
8 Comments:
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2022 Liugong Overseas Warranty Administration General Version) - V2-Final Updated Oct 22

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2022 Liugong Overseas Warranty Administration General Version) - V2-Final Updated Oct 22

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Liugong Overseas Warranty

Liugong authorized service dealer

2.1 What is Warranty....................................................................................................................................................... 9

2.2 Can Warranty be voided?...........................................................................................................................................9

3Warranty Management Procedures............................................................................................................. 9

3.2 Responsibility of Administering Warranty.............................................................................................................. 10

3.7 Other Claimables..................................................................................................................................................... 15

3.8 Retaining Failure Warranty Parts.............................................................................................................................15

4Product Warranty Policy.............................................................................................................................15

4.2 Machine Delivery and Registration.........................................................................................................................16

4.3 Current Warranties................................................................................................................................................. 17

4.4 Standard Warranty Policy........................................................................................................................................ 17

4.5 Marketing of product extend Warranty....................................................................................................................19

4.6 Exclusion in This Warranty..................................................................................................................................... 21

4.7 Engine Warranty Policy (refer to Annex1).............................................................................................................. 22

4.8 Parts Warranty Policy.............................................................................................................................................. 22

5.1 Definition of Claim types........................................................................................................................................ 22

5.2 Warranty Liability of Product Serial Number......................................................................................................... 23

5.3 Warranty Reimbursement Standard.........................................................................................................................23

5.4 Procedure to Revise Warranty Rates....................................................................................................................... 25

5.5 Claim Submission Limits........................................................................................................................................ 25

5.7 Pre-sale Claim..........................................................................................................................................................30

5.8 Campaign Service.................................................................................................................................................... 30

5.9 Major Accident Report............................................................................................................................................ 31

5.10 Goodwill Warranty...................................................................................................................................................32

5.11 Physical Delivery of Warranty Parts........................................................................................................................33

6.2 Payment Materials................................................................................................................................................... 34

6.3 Payment Time.......................................................................................................................................................... 34

7 Warranty Audit Policy...............................................................................................................................35

7.1 Warranty Audit Mode.............................................................................................................................................. 35

7.2 Purpose of Warranty Audit...................................................................................................................................... 35

7.3 Warranty Audit Rules...............................................................................................................................................36

7.4 Warranty Audit Responsibilities.............................................................................................................................. 37

7.5 Audit Candidate Selection Process..........................................................................................................................38

7.6 Preparation of On-site Dealer Warranty Audit........................................................................................................ 39

7.7 Service Dealer On-site Warranty Audit Process......................................................................................................39

7.8 Claim Supporting Information & Audit Requirement Documentation...................................................................41

7.9 LIUGONG Audit Scoring System...........................................................................................................................44

Annex1: Engine Warranty Policy................................................................................................................. 45

2. Cummins Engine warranty............................................................................................................................................. 45

3. Yuchai Engine Warranty................................................................................................................................................. 48

4. Yanmar Engine Warranty................................................................................................................................................49

5. Perkins Engine Warranty................................................................................................................................................ 51

6. Weichai Engine Warranty.............................................................................................................................................. 52

7. Xinchai, Nissan, Mitsubishi Engine WarrantyPolicy................................................................................................51

8. Shangchai Engine Warranty............................................................................................................................................52

9. Isuzu Engine Warranty....................................................................................................................................................52

10. Other Engine Warranty................................................................................................................................................. 53

2 Labor Code Application Template...........................................................................................................................54

3 Warranty Registration Form.................................................................................................................................... 56

4 Warranty Claim Form................................................................................................................................................. 58

5 Quality Report Template.............................................................................................................................................61

6. Major Accident Report.............................................................................................................................................. 64

7. Service Order Template............................................................................................................................................... 65

8 DMS user ID & Warranty rate Application form for dealer........................................................................................ 67

9 Parts Outbound Order................................................................................................................................................... 69

10 Liugong Service Bill...................................................................................................................................................69

Author Aftermarket Management Deportment of Liugong Overseas Business Center

Applicable Product Group Added:Sugarcane HarvesterApplicable product of this manual includes:

Added new arrival inspection and inventory inspection

 Execute the new machine arrival inspection, record

1) After the machine is put into storage, the service