Goodyear Tyres apologises, offers compensation for unsubstantiated environmental claims

26 June 2008

Goodyear Tyres is offering customers partial refunds as part of a court enforceable undertaking accepted by the Australian Competition and Consumer Commission.

During 2007 and 2008, Goodyear Tyres made a number of representations regarding the environmental benefits of its new Eagle LS2000 range of tyres, to the effect that:

  • the Eagle LS2000 is a revolutionary environmentally-friendly tyre
  • the Eagle LS2000 is designed for minimal environmental impact
  • the production process for the Eagle LS2000 results in reduced carbon dioxide emissions
  • the Eagle LS2000 aims to have a major environmental impact by reducing carbon dioxide emissions during its production process, and
  • Goodyear's BioTRED technology, as used in the Eagle LS2000, increases the life of the Eagle LS2000, improves fuel economy and reduces the impact on the environment.

The ACCC was concerned that by making the representations in media releases, promotional materials and on its Australian website, Goodyear Tyres was misleading consumers about the environmental benefits of the Eagle LS2000 tyre in breach of sections 52 and 53(c) of the Trade Practices Act 1974.

Goodyear Tyres has acknowledged that the environment benefits claimed could not be substantiated and has withdrawn all material containing the representations.

Goodyear Tyres has apologised to its customers and is offering a partial refund of the purchase price to customers who relied upon the environment claims when purchasing a LS2000 Eagle tyre between 1 February 2007 and 31 March 2008.  Goodyear has also undertaken to:
• refrain from making the representations in the future
• implement a Trade Practices compliance program, and
• place a corrective notice in major metropolitan newspapers, on its Australian website and in each Goodyear Autocare Centre.

"The ACCC will continue to look very closely at marketing that includes environmental claims, and will act decisively when such claims are false or misleading," ACCC Chairman, Mr Graeme Samuel, said today.

For more information on the refund, please contact Goodyear Tyres
on 1800 030 065.

Release number: 
MR 181/08
Media enquiries: 
Mr Graeme Samuel - (02) 6243 1131
Ms Lin Enright - (02) 6243 1108