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facilitate comment tracking and Rover, Nissan, and Tesla, and effective NHTSA processes any complete response, we encourage commenters to beginning with the 2021 model year for exemption petition. If NHTSA receives provide their name, or the name of their General Motors, Mazda, Mitsubishi, and an incomplete petition, NHTSA will organization; however, submission of Toyota. notify the petitioner of the deficiencies. names is completely optional. Whether FOR FURTHER INFORMATION CONTACT: Once NHTSA receives a complete or not commenters identify themselves, Carlita Ballard, Office of International petition it will process it and, in all timely comments will be fully Policy, Fuel Economy, and Consumer accordance with section 543.8(b), will considered. If you wish to provide Standards, NHTSA, West Building, grant the petition if it determines that, comments containing proprietary or W43–439, NRM–310, 1200 New Jersey based upon substantial evidence, the confidential information, please contact Avenue SE, Washington, DC 20590. Ms. standard equipment antitheft device is the agency for alternate submission Ballard’s phone number is (202) 366– likely to be as effective in reducing and instructions. 5222. Her fax number is (202) 493–2990. deterring motor vehicle theft as compliance with the parts-marking Authority: 49 CFR 1.93(a), 46 U.S.C. SUPPLEMENTARY INFORMATION: Under 49 55103, 46 U.S.C. 12121. U.S.C. Chapter 331, the Secretary of requirements of Part 541. Section 543.8(c) requires NHTSA to Transportation (and the National Dated: May 6, 2020. issue its decision either to grant or to Highway Traffic Safety Administration By Order of the Maritime Administrator. deny an exemption petition not later [NHTSA] by delegation) is required to T. Mitchell Hudson, Jr., than 120 days after the date on which Secretary, Maritime Administration. promulgate a theft prevention standard a complete petition is filed. If NHTSA to provide for the identification of [FR Doc. 2020–09985 Filed 5–8–20; 8:45 am] does not make a decision within the certain motor vehicles and their major BILLING CODE 4910–81–P 120-day period, the petition shall be replacement parts to impede motor deemed to be approved and the vehicle theft. NHTSA promulgated manufacturer shall be exempt from the DEPARTMENT OF TRANSPORTATION regulations at Part 541 (Theft Prevention standard for the line covered by the Standard) to require parts-marking for petition for the subsequent model year.1 National Highway Traffic Safety specified passenger motor vehicles and Exemptions granted under Part 543 Administration light trucks. Pursuant to 49 U.S.C. apply only to the vehicle line or lines 33106, manufacturers that are subject to Petitions for Exemption From the that are subject to the grant and are the parts-marking requirements may equipped with the antitheft device on Federal Motor Vehicle Theft Prevention petition the Secretary of Transportation Standard which the line’s exemption was based for an exemption for a line of passenger and is effective for the model year AGENCY: National Highway Traffic motor vehicles equipped as standard beginning after the model year in which Safety Administration (NHTSA), equipment with an anti-theft device that NHTSA issues the notice of exemption, Department of Transportation (DOT). the Secretary decides is likely to be as unless the notice of exemption specifies effective in reducing and deterring ACTION: Grant of petitions for a later year. exemption. motor vehicle theft as compliance with 543.8(f) and (g) apply to how the parts-marking requirements. In NHTSA’s decisions on petitions are to SUMMARY: This document grants in full accordance with this statute, NHTSA be made known. Under (f), if the eight manufacturers’ petitions for promulgated 49 CFR part 543, which petition is sought under section 543.6, exemption for eight model lines from establishes the process through which NHTSA publishes a notice of its the Federal Motor Vehicle Theft manufacturers may seek an exemption decision to grant or deny the exemption Prevention Standard (Theft Prevention from the Theft Prevention Standard. petition in the Federal Register and Standard) beginning in model years 49 CFR 543.5 provides general notifies the petitioner in writing. Under (MYs) 2020 and 2021. The submission requirements for petitions (g), if the petition is sought under manufacturers, vehicle lines, and model and states that each manufacturer may section 543.7, NHTSA notifies the years are as follows: BMW of North petition NHTSA for an exemption of petitioner in writing of the agency’s America, LLC (BMW) for its 2 series one vehicle line per model year. Among decision to grant or deny the exemption vehicle line beginning in MY 2020; other requirements, manufacturers must petition. Jaguar Land Rover North America LLC identify whether the exemption is This grant of petitions for exemption (Jaguar Land Rover) for its Jaguar E-Pace sought under section 543.6 or section considers the following manufacturers’ vehicle line beginning in MY 2020; 543.7. Under section 543.6, a petitions for the following model years: Nissan North America, Inc. (Nissan) for manufacturer may request an exemption BMW of North America, LLC (BMW) for its QX55 beginning in MY 2020; Tesla by providing specific information about its 2 series vehicle line beginning in MY Motors Inc. (Tesla) for its Model Y the anti-theft device, its capabilities, 2020; Jaguar Land Rover North America vehicle line beginning in MY 2020; and the reasons the petitioner believes LLC (Jaguar Land Rover) for its Jaguar E- General Motors Corporation (GM) for its the device to be as effective at reducing Pace vehicle line beginning in MY 2020; Chevrolet Trailblazer vehicle line and deterring theft as compliance with Nissan North America, Inc. (Nissan) for beginning in MY 2021; Mazda Motors the parts-marking requirements. Section its QX55 beginning in MY 2020; Tesla Corporation (Mazda) for its CX–30 543.7 permits a manufacturer to request Motors Inc. (Tesla) for its Model Y vehicle line beginning in MY 2021; an exemption under a more streamlined vehicle line beginning in MY 2020; Mitsubishi Motors R&D of America process if the vehicle line is equipped General Motors Corporation (GM) for its (Mitsubishi) for its Outlander vehicle with an anti-theft device (an Chevrolet Trailblazer vehicle line line beginning in MY 2021; and Toyota ‘‘immobilizer’’) as standard equipment beginning in MY 2021; Mazda Motors Motor North America, Inc. (Toyota) for that complies with one of the standards Corporation (Mazda) for its CX–30 its Venza vehicle line beginning in MY specified in that section. vehicle line beginning in MY 2021; 2021. Section 543.8 establishes Mitsubishi Motors R&D of America DATES: The exemptions granted by this requirements for processing petitions for (Mitsubishi) for its Outlander vehicle notice are effective beginning with the exemption from the Theft Prevention 2020 model year for BMW, Jaguar Land Standard. As stated in section 543.8(a), 1 49 U.S.C. 33106(d).

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line beginning in MY 2021; and Toyota marking requirements of the Theft should determine that the antitheft Motor North America, Inc. (Toyota) for Prevention Standard. device is likely to be as effective as compliance with the parts-marking its Venza vehicle line beginning in MY II. Specific Petition Content requirements of Part 541 in reducing 2021. Requirements Under 49 CFR 543.6 and deterring motor vehicle theft, As explained below, the petitions for Pursuant to 49 CFR 543, Exemption all eight manufacturers’ vehicle lines are including any statistical data that are from Vehicle Theft Prevention, the eight available to the petitioner and form the granted under 49 U.S.C. 33106, which manufacturers described below states that if the Secretary of basis for the petitioner’s belief that a petitioned for their specified vehicle line of passenger motor vehicles Transportation (NHTSA, by delegation) lines an exemption from the parts- equipped with the antitheft device is does not make a decision about a marking requirements of the Theft likely to have a theft rate equal to or less petition within 120 days of the petition Prevention Standard, beginning in MYs than that of passenger motor vehicles of submission, the petition shall be 2020 or 2021. Each manufacturer the same, or a similar, line which have deemed to be approved and the petitioned under 49 CFR 543.6, Petition: parts marked in compliance with Part manufacturer shall be exempt from the Specific content requirements, which as 541.7 standard for the line covered by the described above, requires manufacturers The following sections describe each petition for the subsequent model year. to provide specific information about manufacturer’s petition information Separately, based on the information the anti-theft device installed as provided pursuant to 49 CFR 543, provided in each manufacturer’s standard equipment on all vehicles in Exemption from Vehicle Theft petition, NHTSA has determined that the line for which an exemption is Prevention. Some manufacturers the antitheft device to be placed on each sought, the anti-theft device’s requested confidential treatment for line as standard equipment is likely to capabilities, and the reasons the specific information in their petition. be as effective in reducing and deterring petitioner believes the device to be as Therefore, no confidential information motor vehicle theft as compliance with effective at reducing and deterring theft provided for purposes of this notice has the parts-marking requirements of the as compliance with the parts-marking been disclosed. Theft Prevention Standard. requirements. More specifically, 543.6(a)(1) requires a. BMW I. Petition Approval Under 49 U.S.C. petitions to include a statement that an In a petition dated February 22, 2019, 33106(d) antitheft device will be installed as BMW requested an exemption from the As outlined above, if NHTSA does not standard equipment on all vehicles in parts-marking requirements of the Theft make a decision on a complete the line for which the exemption is Prevention Standard for its 2 series exemption petition within the 120-day sought. Under section 543.6(a)(2), each vehicle line beginning with MY 2020. period after the date that the petition petition must list each component in the Pursuant to 543.6(a)(1), BMW stated that was filed,2 the petition shall be deemed antitheft system, and a diagram showing the antitheft device described in its to be approved and the manufacturer the location of each of those petition will be standard equipment on shall be exempt from the standard for components within the vehicle. As 100% of its 2 series vehicle line the line covered by the petition for the required by section 543.6(a)(3), each produced for the U.S. beginning with subsequent model year.3 petition must include an explanation of MY 2020 and beyond. the means and process by which the In accordance with 543.6(a)(2), BMW Each manufacturer covered in this device is activated and functions, provided a detailed description and notice for the specified model year including any aspect of the device diagram of the identity, design, and submitted a petition for exemption to designed to: (1) Facilitate or encourage location of the components of the NHTSA more than 120 days prior to this its activation by motorists; (2) attract antitheft device for its 2 series vehicle decision. Although each petition is attention to the efforts of an line. Under 543.6(a)(3), BMW stated that accordingly approved pursuant to 49 unauthorized person to enter or move a its 2 series vehicle line will be installed U.S.C. 33106(d), for continuity for vehicle by means other than a key; (3) with a passive, electronically-coded, manufacturers that petitioned for MYs prevent defeating or circumventing the vehicle immobilizer system (EWS) as past (i.e., we are now approximately 7– device by an unauthorized person standard equipment that will prevent 8 months into MY 2020), or MYs for attempting to enter a vehicle by means the vehicle from being driven away which production is likely to begin 8 other than a key; (4) prevent the under its own engine power. Key 4 months prior to the start of this notice, operation of a vehicle which an features of the antitheft device will NHTSA evaluated the specific unauthorized person has entered using include a passive immobilizer, remote- information provided by each means other than a key; and (5) ensure control w/transponder including a manufacturer in accordance with the the reliability and durability of the mechanical key, ring antenna requirements in 49 CFR 543.6, Petition: device.5 (transponder coil), low frequency Specific content requirements. Based on In addition to providing information antenna (LF), engine control unit (DME/ this information, NHTSA separately about the antitheft device and its DDE) with encoded start release input, determined that the antitheft device to functionality, petitioners must also transmission control unit (EGS) and an be placed on each line as standard submit the reasons for the petitioner’s EWS (BDC) control unit. BMW stated equipment is likely to be as effective in belief that the antitheft device will be that it will not offer an audible or visible reducing and deterring motor vehicle effective in reducing and deterring alarm feature on the proposed device. theft as compliance with the parts- motor vehicle theft, including any theft BMW also provided information on data and other data that are available to the reliability and durability of its 2 See 51 FR 706; 52 FR 33821. Since the interim the petitioner and form a basis for that proposed device. To ensure reliability final rule implementing the Theft Prevention belief,6 and the reasons for the and durability of its device, BMW stated Standard, NHTSA has interpreted the filing date as meaning the date on which NHTSA receives a petitioner’s belief that the agency that it conducted tests on the antitheft manufacturer’s complete petition. device which complied with its own 3 49 U.S.C. 33106(d). 5 49 CFR 543.6 (a)(3). 4 49 U.S.C. 33106(c). 6 49 CFR 543.6(a)(4). 7 49 CFR 543.6(a)(5).

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specific standards. BMW further stated BMW has installed its antitheft device that its key recognition sequence that its antitheft device fulfills the on several of its vehicle lines which includes over a billion code requirements of the January 1995 have been granted parts-marking combinations with encrypted data that European vehicle insurance companies. exemptions by the agency. are secure against duplication. Jaguar In further addressing the reliability and Land Rover further stated that the coded b. Jaguar Land Rover durability of its device, BMW provided data transfer between modules use a information on the uniqueness of its In a petition dated December 14, unique secure identifier and public mechanical keys to be used on the 2 2018, Jaguar Land Rover requested an algorithm. Jaguar Land Rover also stated series vehicle line. Specifically, BMW exemption from the parts-marking that since its Jaguar E-Pace vehicle line stated that the vehicle’s mechanical requirements of the Theft Prevention will utilize a push button vehicle keys are unique because they require a Standard for its Jaguar E-Pace vehicle ignition, it does not have a conventional special key blank, cutting machine and line beginning with MY 2020. Pursuant mechanical key barrel, and therefore, a a unique vehicle code to allow for key to 543.6(a)(1), Jaguar Land Rover stated thief will have no means of forcibly duplication. BMW also stated that the that the antitheft device described in its bypassing the key-locking system. mechanical keys cannot be used to petition will be standard equipment on Jaguar Land Rover stated that its deactivate the device but that activation the Jaguar E–PACE model for MY 2020. immobilizer device is automatically must be done electronically. BMW In accordance with 543.6(a)(2), Jaguar activated when the Smart Key is further stated that the new keys will Land Rover provided a detailed removed from the vehicle. Jaguar Land only be issued to authorized persons description and diagram of the identity, Rover also stated that its Smart key is and will incorporate special guide-way design, and location of the components programmed and synchronized to each millings, making the locks almost of the antitheft device for the Jaguar E- vehicle through an identification key impossible to pick and the keys Pace vehicle line. Under 543.6(a)(3), code and a secret, randomly-generated impossible to duplicate on the open Jaguar Land Rover stated that the Jaguar code unique to each vehicle. market. E-Pace vehicle line will be installed Jaguar Land Rover stated that there BMW stated that activation of its with a passive, transponder-based, are three methods of antitheft device antitheft device occurs automatically electronic engine immobilizer device as deactivation and engine starting. when the engine is shut off and the standard equipment beginning with the Method one consists of automatic vehicle key is removed from the ignition 2020 model year. Key components of its detection of the Smart Key via a remote system. BMW stated that a transponder antitheft device will include a Smart frequency challenge response sequence. (transmitter/receiver) in the radio Key, power train control module (PCM), Specifically, when the driver frequency remote control communicates instrument cluster, body control module approaches the vehicle and pulls the with the EWS (BDC) control unit (BCM), remote frequency receiver (RFR), driver’s door handle following providing the interface to the loop Immobilizer Antenna Unit (IAU), authentication of the correct Smart Key, antenna (coil), engine control unit and Remote Frequency Actuator (RFA), the doors will unlock. When the starter. After an initial starting value, Security Horn and Vehicle Horn, Smart ignition start button is pressed, the the authentication uses the challenge Key, Door Zone Modules (Passenger and device searches to find and authenticate response technique with symmetric Driver) (DMZs) and a Security Warning the Smart Key within the vehicle secret key. BMW further stated that LED. Jaguar Land Rover stated that its interior. If successful, this information when the control unit identifies the antitheft device will also include a is passed to the BCM via the Remote correct release signal, the ignition signal vehicle security system that includes an Function Actuator by coded data and fuel supply are released allowing audible and visual perimeter alarm transfer. The BCM will pass the ‘‘valid operation of the vehicle. system as standard equipment on the key’’ status to the instrument cluster, via BMW also stated that the vehicle is entire vehicle line. The horn will sound a coded data transfer and then send the equipped with a central-locking system and the vehicle’s exterior lights will key valid message code to the PCM that can be operated to lock and unlock flash if unauthorized entry is attempted initiating a coded data transfer and all doors or to unlock only the driver’s by opening the hood, doors or luggage engine authorization to start. Method door, preventing forced entry into the compartment. Jaguar Land Rover further two consists of unlocking the vehicle vehicle through the passenger doors. stated that its perimeter alarm system with the Smart Key unlock button. As BMW further stated that the vehicle can can be armed with its Smart Key or the driver approaches the vehicle, the be further secured by locking the doors programmed to be passively armed. Smart Key unlock button is pressed and and hood using either the key-lock Jaguar Land Rover provided the doors will unlock. Once the driver cylinder on the driver’s door or the information on the reliability and presses the ignition start button, the remote frequency remote control. BMW durability of its proposed device as operation process is the same as method stated that the frequency for the remote required by 543.6(a)(3)(v). To ensure one. Method three involves using the control constantly changes to prevent an reliability and durability of the device, emergency key blade. If the Smart Key unauthorized person from opening the Jaguar Land Rover conducted tests has a discharged battery or is damaged, vehicle by intercepting the signals of its based on its own specified standards. there is an emergency key blade that can remote control. Jaguar Land Rover provided a detailed be removed from the Smart Key and BMW further stated that all of its list of the tests conducted (i.e., used to unlock the doors. When the vehicles are currently equipped with temperature and humidity cycling, high ignition start button is pressed, the antitheft devices as standard equipment, and low temperature cycling, device searches to find and authenticate including its 2 series vehicle line. BMW mechanical shock, random vibration, the Smart Key within the vehicle compared the effectiveness of its thermal stress/shock tests, material interior. If successful, the Smart Key antitheft device with devices which resistance tests, dry heat, dust and fluid needs to be docked. Once the Smart Key NHTSA has previously determined to be ingress tests). Jaguar Land Rover stated is docked/placed in the correct position, as effective in reducing and deterring that it believes that its device is reliable and the ignition start button is pressed motor vehicle theft as would and durable because it complied with again, the BCM and Smart key enter a compliance with the parts-marking specified requirements for each test. coded data exchange via the requirements of Part 541. Specifically, Additionally, Jaguar Land Rover stated Immobilizer Antenna Unit. The BCM

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then passes the valid key status to the diagram of the identity, design, and exterior door handle to activate the instrument cluster, via the Immobilizer location of the components of the handle sensors or inserts a hand into the Antenna Unit and sends the key valid antitheft device for the Model Y vehicle handle to trigger the latch release. message to the PCM which initiates a line. Tesla stated that the Model Y During the second stage, vehicle coded data transfer. If successful, engine vehicle line will be installed with a operation will be enabled when the starting is authorized. passive, transponder-based, electronic driver has depressed the brake pedal Jaguar Land Rover stated that its engine immobilizer device as standard and moves the gear selection stalk to immobilizer system on the Jaguar E-Pace equipment beginning with its MY 2020 drive or reverse, when one of these is substantially similar to the antitheft model year. Key components of the actions is performed, the security devices using similar technology antitheft device include an engine controller will poll to verify if the installed on the Jaguar F-Pace, Jaguar XJ, immobilizer, central body controller, appropriate PET is inside the vehicle. Jaguar F-Type, Jaguar XF, Jaguar XE, security controller, gateway function, Upon location of the PET, the security Land Rover Discovery Sport and the drive inverters and a passive entry controller will run an authentication Land Rover Range Rover Evoque. transponder (PET). Tesla also stated that cycle with the key confirming the c. Nissan the new design of its immobilizer device correct PET is being used inside the will have enhanced security vehicle. Tesla stated that once On October 19, 2017, Nissan was communication between its authentication is successful, the security granted an exemption from the parts- components, prevent tampering and controller initiates a coded message marking requirements of 49 CFR part provide additional features to enhance through the gateway. If the code 541, Federal Motor Vehicle Theft its overall effectiveness. Tesla further exchange matches the code stored in the Prevention Standard (Theft Prevention stated that in addition to its immobilizer drive inverters, the exchange will Standard) by the agency beginning with device, it will incorporate an audible authorize the drive inverter to its MY 2019 vehicles (see 82 FR 48744). alarm (horn) as standard equipment, but deactivate immobilization allowing the The exemption in accordance with 49 will not include a visual feature with vehicle to be driven under its own CFR part 543, Exemption from the Theft the alarm system. Tesla stated that power. Tesla stated that the immobilizer Prevention Standard was granted forced entry into the vehicle or any type functions to ensure maximum theft because the agency determined that the of unauthorized entry without the protection when the immobilizer is antitheft device placed on the vehicle correct PET will trigger the audible active, the vehicle is off and the doors line as standard equipment is likely to alarm. Tesla further stated that in are locked. Tesla stated that it will be effective in reducing and deterring addition to an unauthorized access incorporate an additional security motor vehicle theft as compliance with through the doors, the alarm will also measure that performs when the car is the parts-marking requirements. The trigger when a break-in is attempted to unlocked and immobilization is QX50 vehicle line is installed with a both the front and rear cargo areas. deactivated. Specifically, passive, electronic engine immobilizer Tesla provided information on the immobilization will reactivate when antitheft device as standard equipment reliability and durability of its proposed there are no user inputs to the vehicle but does not provide an audible and device as required by 543.6(a)(3)(v). within a programmed period of time. visible alarm system, although the Tesla stated that the antitheft device Tesla stated that any attempt to operate system provides a security indicator will be an upgraded version of the the vehicle without performing and light. successful antitheft system currently completing each task, will render the On July 29, 2019, Nissan sent the installed as standard equipment in all vehicle inoperable. agency a letter informing the agency of Tesla Model S/X/3 vehicles. To ensure Tesla stated that its immobilizer its plans to add the new QX55 luxury reliability and durability of the device, system on the Model Y vehicle line will sport utility coupe model to its existing Tesla conducted tests based on its own be similar to the version designed to Infiniti QX50 sports utility vehicle line specified standards. Tesla provided a deter theft on the Model S and X vehicle beginning with MY 2020. Nissan stated detailed list of the tests conducted and lines. Tesla also stated that it expects that there will be slight exterior styling stated that it believes that its device is similar results with the Model Y differences between the QX50 and the reliable and durable because it complied vehicles equipped with a modern QX55 vehicles, however, the vehicle with its design standards. Additionally, immobilizer system that is state of the specifications and platform/chassis will Tesla stated that it has also incorporated art in both design and function. remain the same. Nissan further other measures of ensuring reliability e. General Motors confirmed that its new QX55 model will and durability of the device to protect also maintain the same antitheft device the immobilizer device from exposure to Pursuant to 49 CFR 543, Exemption as utilized on the QX50 vehicle line for the elements and limits its access by from Vehicle Theft Prevention, GM which its original exemption was unauthorized personnel. Furthermore, requested, in a petition dated July 19, granted. Tesla stated that the immobilizer relies 2019, an exemption from the parts- on electronic functions and not marking requirements of the Theft d. Tesla mechanical functions, and therefore Prevention Standard for its Chevrolet In a petition dated August 9, 2019, expects the components to last at least Trailblazer vehicle line beginning with Tesla requested an exemption from the the life of the vehicle or longer. MY 2021. GM stated that its ‘‘PASS– parts-marking requirements of the Theft Tesla stated that its antitheft device KEY III+’’ antitheft device, discussed Prevention Standard for its Model Y will have a two-step activation process further below, would be installed as vehicle line beginning with MY 2020. with a vehicle code query conducted at standard equipment on all vehicles in Pursuant to 543.6(a)(1), Tesla stated that each stage. The first stage allows access the Chevrolet Trailblazer line.’’ the antitheft device described in its to the vehicle when an authorization In accordance with 49 CFR petition will be installed as standard cycle occurs between the PET and the 543.6(a)(2), GM stated that its PASS-Key equipment on Model Y line vehicles central body controller, as long as the III+ anti-theft device is a passive, starting with MY 2020. PET is in close proximity to the car and transponder-based, electronic In accordance with 543.6(a)(2), Tesla the driver either pushes the lock/unlock immobilizer, with the following major provided a detailed description and button on the key fob, pushes the components: A PASS-Key III+ controller

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module, engine control module (ECM), code pre-release password to the engine Notice I (NHTSA Request for Comments an electronically-coded ignition key, a controller and fuel will not be delivered on its preliminary Report to Congress on radio frequency (RF) receiver, an to the engine and the starter will not be the effects of the Anti Car Theft Act of immobilizer exciter module, three low enabled, so the vehicle will be 1992 and the Motor Vehicle Theft Law frequency antennas, and a passive immobilized. Enforcement Act of 1984). In the Report antenna module and provided a diagram As required in section 543.6 (a)(3)(v), to Congress, AAMA stated the more of the locations of the components. GM provided information on the recent antitheft systems are more As required by 49 CFR 543.6(a)(3), reliability and durability of its proposed effective in reducing auto theft. AAMA GM stated that the PASS-Key III+ device. GM followed its own standards also cited the Highway Loss Data immobilizer device is designed to be in assessing reliability and durability Institute (HLDI) findings on the active at all times without direct and conducted tests to validate the effectiveness of antitheft devices in intervention by the vehicle operator. integrity, durability and reliability of the reducing theft. AAMA noted that GM further stated that activation of the PASS-Key III+ device, including tests vehicles with antitheft devices are less device occurs immediately after the for high temperature storage, low likely to be stolen for joyriding or ignition has been turned off and the key temperature storage, thermal shock, transportation and therefore, their has been removed and deactivation of humidity, frost, salt fog, flammability recovery rates are lower. the antitheft device occurs and others. GM further stated that the GM also stated that theft rate data automatically when the engine is design and assembly processes of the have indicated a decline in theft rates PASS-Key III+ subsystem and for vehicle lines equipped with started. GM stated that the Chevrolet components are validated for 10 years of comparable devices that have received Trailblazer vehicle line will be vehicle life and 150,000 miles of full exemptions from the parts-marking equipped with one of two ignition performance. requirements. GM stated that the theft versions. Specifically, the Chevrolet GM noted in its petition that its rate data, as provided by the Federal Trailblazer will be equipped with either proposed device lacks an audible or Bureau of Investigation’s National Crime a keyed or keyless ignition version of its visible alarm and, therefore, does not Information Center (NCIC) and PASS-Key III+ immobilizer antitheft perform one of the functions listed in 49 compiled by the agency, show that theft device. GM also stated that the ‘‘keyed’’ CFR part 543.6(a)(3), that is, to call rates are lower for exempted GM models ignition version utilizes a special attention to unauthorized attempts to equipped with the PASS-Key-like ignition key and decoder module and its enter or move the vehicle. However, GM systems than the theft rates for earlier electrical code must be sensed and stated that based on comparison of the models with similar appearance and properly decoded by the controller reduction in the theft rates of Chevrolet construction that were parts-marked. module before the vehicle can be Corvettes using a passive antitheft Based on the performance of the PASS- operated. GM further stated that with device along with an audible/visible Key, PASS-Key II, and PASS-Key III the ‘‘keyless’’ ignition version, an alarm system to the reduction in theft devices on other GM models, and the electronic key fob performs normal rates for the Chevrolet Camaro models advanced technology utilized in PASS- remote keyless entry functions and equipped with a passive antitheft device Key III+, GM believes that the PASS-Key communicates with the vehicle without without an alarm, GM did not find that III+ device will be more effective in direct owner intervention. Specifically, the lack of an alarm or attention- deterring theft than the parts-marking during operation of the vehicle, when attracting device compromised the theft requirements of 49 CFR part 541. the owner presses the engine start/stop deterrent performance of a device such switch, the vehicle transmits a as PASS-Key III+ device. GM stated that f. Mazda randomly generated challenge and in these instances, the agency has In a petition dated October 1, 2019, vehicle identifier within the passenger previously concluded that the lack of an Mazda requested an exemption from the compartment of the vehicle via three audible or visible alarm has not parts-marking requirements of the Theft low-frequency antennas, controlled by prevented these antitheft devices from Prevention Standard for its Mazda CX– the passive antenna module. The being effective protection against theft. 30 vehicle line beginning with MY electronic key receives the data and if To support its assertion that the 2021. the vehicle identifier matches that of the antitheft device would be as effective at In its petition, Mazda provided a vehicle, the electronic key will calculate reducing and deterring theft as parts- detailed description and diagram of the the response to the vehicle using the marking, as required by 49 CFR identity, design, and location of the challenge and secret information shared 543.6(a)(4), GM referenced data components of the antitheft device for between the key and the vehicle. The provided by the American Automobile the CX–30 vehicle line. Mazda stated electronic key then transmits the Manufacturers Association (AAMA) in that its MY 2021 CX–30 vehicle line response via a radio frequency channel support of the effectiveness of GM’s will be installed with a passive, to a vehicle mounted receiver, PASS-Key devices in reducing and transponder based, electronic engine conveying the information to the PASS- deterring motor vehicle theft and stated immobilizer antitheft device as standard Key III+ control module. The PASS-Key that the PASS-Key III+ device has been equipment. Key components of its III+ control module compares the designed to enhance the functionality antitheft device will include a received response with an internally and theft protection provided by its powertrain control module (PCM), calculated response. If the values match, first, second and third generation PASS- immobilizer control module, security the device will allow the vehicle to Key, PASS-Key II, and PASS-Key III indicator light, coil antenna, transmitter enter functional modes and transmit a devices. Specifically, GM stated that with transponder key (transponder key), fixed code pre-release password to the data which provide the basis for GM’s low frequency (LF) antenna, radio engine controller over the serial data confidence that the PASS-Key III+ frequency (RF) receiver and a low bus, and enable computation and system will be effective in reducing and frequency unit (LFU). The device will communication of a response to any deterring motor vehicle theft are not provide any visible or audible valid challenge received from the engine contained in the response of the indication of unauthorized vehicle entry controller. If a valid key is not detected, American Automobile Manufacturers (i.e., flashing lights or horn alarm) as the system will not transmit a fixed Association (AAMA) to Docket 97–042; standard equipment however, Mazda

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stated that its device will incorporate a can only be started if the immobilizer provides a detailed description and light-emitting diode (LED) indicator code matches the code previously diagram of the identity, design, and which will provide a visual programmed into the immobilizer location of the components of the confirmation on the protection status of control module. If the immobilizer code antitheft device proposed for the antitheft device. does not match, the engine will be installation beginning with the 2021 As required in section 543.6 (a)(3)(v), disabled. Communications between the MY. Mazda provided information on the immobilizer system control function For the current antitheft device reliability and durability of its proposed and the powertrain’s electronic control installed on the Mitsubishi Outlander, device. To ensure reliability and module are encrypted. Mazda also Mitsubishi stated that it will continue to durability of the device, Mazda stated that there are more than 15 × 10 6 offer the wireless control module conducted tests based on its own different transponder codes, and each (WCM) as standard equipment for the specified standards. Mazda provided a transponder is hard coded with a entry models for the Outlander vehicle detailed list of the tests conducted (i.e., unique code at the time of manufacture. line, but all models other than the entry low/high temperature exposure Mazda provided data on the models will be equipped with one touch operation, high temperature endurance, effectiveness of other similar antitheft starting system (OSS). The features of thermal cycling, thermal shock devices installed on vehicle lines in the OSS are the engine electronic resistance, thermal shock endurance, support of its belief that its device will control unit (ECU), electronic time and humidity temperature cycling, high be at least as effective as those alarm control system (ETACS ECU), temperature and humidity endurance, comparable devices. Specifically, Mazda OSS ECU, keyless operation system water, dust, vibration, connector and stated that its device was installed on (KOS) ECU, engine (power) switch lead/lock strength, chemical resistance, certain MY 1996 Ford vehicles as keyless operation key (transponder key) electromagnetic field, power line standard equipment, (i.e., all Ford and low-frequency (LF) antenna. variations, DC stresses, electrostatic Mustang GT and Cobra models, Ford Mitsubishi stated that the OSS utilizes discharge and push button start Taurus LX, and SHO models and Ford a keyless system that allows the driver strength) and stated that it believes the Sable LS models). In MY 1997, Mazda to press a button located on the device is reliable and durable since it installed its immobilizer device on the instrument panel to activate and complied with its own specified entire Ford Mustang vehicle line as deactivate the ignition (instead of using requirements for each test. Additionally, standard equipment. When comparing a traditional key in the key cylinder) as Mazda stated that its device is extremely 1995 model year Mustang vehicle thefts long as the transponder is located in reliable and durable because it is (without immobilizers) with MY 1997 close proximity to the driver. Once the computer-based and does not rely on Mustang vehicle thefts (with ignition switch is pushed to the ‘‘on’’ any mechanical or moving parts. Mazda immobilizers), Mazda referenced the position, the transceiver module reads further stated that any attempt to slam- National Crime Information Center’s the specific ignition key code for the pull its vehicle’s ignition will have no (NCIC) theft information which showed vehicle and transmits an encrypted effect on a thief’s ability to start the that there was a 70% reduction in theft message containing the key code to the vehicle without the correct code being experienced when comparing MY 1997 ECU which verifies that the key is transmitted to the electronic control Mustang vehicle thefts (with correct. The immobilizer then sends a modules. immobilizers) to MY 1995 Mustang separate encrypted state-code signal to According to Mazda, there are two vehicle thefts (without immobilizers). the engine ECU to allow the driver to methods of initiating the antitheft start the vehicle. The engine will only g. Mitsubishi device operation process. Specifically, function if the key code matches the Mazda stated that the immobilizer On February 2, 2009, NHTSA unique identification key code system checks up on two codes; (1) the published in the Federal Register a previously programmed into the ECU. If transponder code which the notice granting in full a petition from the codes do not match, the engine and immobilizer control module checks Mitsubishi for an exemption from the fuel system will be disabled. with the transponder located in the parts-marking requirements of the Theft In its 2021 modification, Mitsubishi transmitter; and (2) the immobilizer Prevention Standard (49 CFR 541) for stated that it will offer the one touch code, which the immobilizer control the Outlander vehicle line beginning starting system (OSS 2) as standard module checks with the powertrain’s with its MY 2011 vehicles (see 74 FR equipment for all Outlander vehicles. electronic control module. Mazda also 5891). The Mitsubishi Outlander is The features of the OSS 2 are the engine stated that there are two means of currently equipped with a passive, control module (ECM), intelligent power checking the transponder code; (1) transponder-based, electronic engine distribution module engine room when the immobilizer control module immobilizer device and an audible and (IPDM–ER), body control module communicates with the transmitter visible alarm. (BCM), hands free module (HFM) w/ which includes a transponder by LF On August 6, 2012, Mitsubishi antenna, engine (power) switch w/ring antenna and receives a reply of submitted a petition to modify the antenna, iKey Fob (transponder key) transmitter in the RF receiver; and (2) previously approved exemption for the and a LF antenna. The OSS 2 is a when the immobilizer control module Outlander vehicle line. On November transponder-based electronic communicates with the transponder by 28, 2012 (see 77 FR 71030), the agency immobilizer system that starts the coil antenna which is located in the granted a petition for modification of engine without using a mechanical key push button start. If a code of the the previously granted exemption for as long as the registered iKey Fob is transponder matches with the the Outlander vehicle line beginning located in close proximity to the driver. immobilizer control module by either with its MY 2014 vehicles. On August Mitsubishi stated that it will also method mentioned above, and the 1, 2019, Mitsubishi submitted a second introduce another model into the ignition is turned to the ON position, petition to modify the previously Outlander vehicle line beginning with the immobilizer control module checks approved exemption for the Outlander MY 2021. the powertrain’s electronic control vehicle line. When the ignition key is pushed to module with immobilizer code. Mazda In accordance with 543.6(a)(2), the ignition ‘‘on’’ position, the further stated that the vehicle’s engine Mitsubishi’s petition for modification transceiver module reads the specific

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ignition key code for the vehicle and compared with that of its MY 1999 from easily being broken. Toyota further transmits an encrypted message Mitsubishi Eclipse (unequipped with an explained that there are approximately containing the key code to the ECU or immobilizer device). 10,000 combinations for inner cut keys HFM which verifies that the key is which makes it difficult to unlock the h. Toyota correct. The immobilizer then sends a doors without using a valid key because separate encrypted start-code signal to In a petition dated August 19, 2019, the key cylinders would spin out and the engine ECU or HFM to allow the Toyota requested an exemption from the cause the locks to not operate. driver to start the vehicle. The engine parts-marking requirements of the Theft Toyota stated that its HV with ‘‘smart will only function if the key code Prevention Standard for the Venza entry and start’’ system is activated matches the unique identification key vehicle line beginning with MY 2021. when the power switch is pushed from code previously programmed into the In its petition, Toyota provided a the ‘‘ON’’ ignition status to any other ECU or HFM. If the codes do not match, detailed description and diagram of the status. The certification ECU then identity, design, and location of the the engine and fuel system will be performs the calculation for the components of the antitheft device for disabled. Mitsubishi also stated that if immobilizer and the immobilizer signals the Venza vehicle line. Toyota stated the iKey Fob battery is functioning at the ECM to activate the device. Toyota that its MY 2021 Venza vehicle line will low power, once the ignition key is also stated that key verification is also be installed with an engine immobilizer pushed and the iKey Fob is close to the performed after the driver pushes the device as standard equipment, as engine switch, the ring antenna in the power switch. Deactivation occurs after required by 543.6(a)(1). Toyota also engine switch will supply power by the driver pushes the power switch, the stated that it will offer an HV with transmitting electromagnetic waves to a certification ECU and steering lock ECU ‘‘smart entry and start’’ system on its transponder built into the iKey Fob by receive confirmation of a valid key, and using magnetic coupling. After power is Venza vehicle line. Specifically, key components of the ‘‘smart entry and the certification ECU allows the ECM to supplied to the iKey Fob it will transmit start the engine. Toyota also stated that the ID code to the HFM via the engine start’’ system will include, a certification engine control unit (ECU), a security indicator is installed notifying switch, once authentication is the users and others inside and outside successfully at the HFM, the HFM will power switch, steering lock ECU, security indicator, door control receiver, the vehicle with the status of the send the outcome to the BCM turning immobilizer. Toyota further explained the ignition on and sending the ignition electrical key, HV–ECU, ID code box, and an engine control module (ECM). that the security indicator flashes on request to the IPDM–ER. continuously when the immobilizer is Mitsubishi further stated that there Toyota stated that there will also be activated, and turns off when it is are 4.3 billion different possible key position switches installed on the deactivated. codes for the WCM system, 250 million vehicle to protect the hood and doors for the OSS 1 system and 268 million from unauthorized tampering/opening. Toyota stated that currently, there is for the new OSS 2 system making a Toyota further explained that locking no theft rate data available for its new successful key code duplication nearly the doors can be accomplished through Venza vehicle line. However, Toyota impossible. Mitsubishi stated that the use of a key, wireless switch or its smart compared its proposed device to other immobilizer device and the ECU or entry system, and that unauthorized Toyota antitheft devices that NHTSA HFM share security data when first tampering with the hood or door has determined to be as effective in installed during vehicle assembly, without using one of these methods will reducing and deterring motor vehicle making them a matched set. These cause the position switches to trigger its theft as would compliance with the matched modules will not function if antitheft device to operate. Toyota parts-marking requirements. Toyota taken out and reinstalled separately on stated that its antitheft device will also compared its proposed device to that other vehicles. Mitsubishi also stated include an alarm system as standard which has been installed on the Camry, that the device is extremely reliable and equipment. Toyota stated that once its Corolla, Prius, Prius v, RAV4, durable because there are no moving alarm system is activated, the horn will Highlander, Sienna, Avalon, C–HR, parts, the key does not require a sound and its exterior and interior lights Lexus LS, GS, RX, NX vehicle lines. separate battery and it is impossible to will flash if unauthorized entry is Toyota also stated that the MY 2014 mechanically override the device and attempted. theft rate data for the Toyota RAV4 and start the vehicle. As required in section 543.6 (a)(3)(v), RAV4 HV is similar to its proposed Mitsubishi stated that the Mitsubishi Toyota provided information on the device for the Venza vehicle line. Outlander has been equipped with the reliability and durability of its proposed Therefore, Toyota has concluded that immobilizer device since MY 2007. device. To ensure reliability and the antitheft device proposed for its Mitsubishi also stated that the Eclipse, durability of the device, Toyota Venza vehicle line is no less effective Galant, Endeavor, Lancer, Outlander conducted tests based on its own than those devices on the lines for Sport, I-MiEv, Mirage, and the Eclipse specified standards. Toyota provided a which NHTSA has already granted full Cross vehicle lines have been equipped detailed list of the tests conducted (i.e., exemption from the parts-marking with a similar type of immobilizer high and low temperature operation, requirements. strength, impact, vibration, electro- device since January 2000, January III. Decision to Grant the Petitions 2004, April 2004, March 2007, magnetic interference, etc.). Toyota September 2010, October 2011, July stated that it believes that its device is As discussed above, the petitions for 2013 and December 2017 respectively, reliable and durable because it complied all eight manufacturers’ vehicle lines are and they have all been granted parts- with its own specific design standards considered approved under 49 U.S.C. marking exemptions by the agency. and the antitheft device is installed on 33106. Separately, NHTSA believes, Mitsubishi further stated that its Eclipse other vehicle lines for which the agency based on the supporting evidence vehicle line has been equipped with a has granted a parts-marking exemption. submitted by each manufacturer, that similar device since introduction of its As an additional measure of reliability the antitheft device described for each MY 2000 vehicles. Mitsubishi further and durability, Toyota stated that its vehicle line is likely to be as effective stated that the theft rate for the MY 2000 vehicle key cylinders are covered with in reducing and deterring motor vehicle Eclipse decreased by almost 42% when casting cases to prevent the key cylinder theft as compliance with the parts-

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marking requirements of the Theft a similar, line which have parts marked characterized as de minimis, it should Prevention Standard. in compliance with part 541’’ (emphasis consult the agency before preparing and Pursuant to 49 U.S.C. 33106 and 49 added).8 The notice will clarify this submitting a petition to modify. CFR 543.8(b), the agency grants a provision of Part 541. For the foregoing reasons, the agency petition for exemption from the parts- The agency notes that 49 CFR part hereby grants in full the following marking requirements of Part 541, either 541, Appendix A–1, identifies those petitions for exemption for the in whole or in part, if it determines that, lines that are exempted from the Theft following manufacturers’ vehicle lines based upon substantial evidence, the Prevention Standard for a given model for the following model years: BMW of standard equipment antitheft device is year. 49 CFR part 543.8(f) contains North America, LLC (BMW) for its 2 likely to be as effective in reducing and publication requirements incident to the series vehicle line beginning in MY deterring motor vehicle theft as disposition of all Part 543 petitions. 2020; Jaguar Land Rover North America compliance with the parts-marking Advanced listing, including the release LLC (Jaguar Land Rover) for its Jaguar E- requirements of Part 541. The agency of future product nameplates, the Pace vehicle line beginning in MY 2020; finds that each manufacturer has beginning model year for which the Nissan North America, Inc. (Nissan) for provided adequate reasons for its belief petition is granted and a general its QX55 beginning in MY 2020; Tesla that the antitheft device for each vehicle description of the antitheft device is Motors Inc. (Tesla) for its Model Y line is likely to be as effective in necessary in order to notify law vehicle line beginning in MY 2020; reducing and deterring motor vehicle enforcement agencies of new vehicle General Motors Corporation (GM) for its theft as compliance with the parts- lines exempted from the parts-marking Chevrolet Trailblazer vehicle line marking requirements of the Theft requirements of the Theft Prevention beginning in MY 2021; Mazda Motors Prevention Standard. This conclusion is Standard. Corporation (Mazda) for its CX–30 based on the information each If any manufacturer listed in this vehicle line beginning in MY 2021; manufacturer provided about its notice decides not to use the exemption Mitsubishi Motors R&D of America antitheft device. for their requested vehicle line, the (Mitsubishi) for its Outlander vehicle The agency concludes that each manufacturer must formally notify the line beginning in MY 2021; and Toyota described device will provide four of agency. If such a decision is made, the Motor North America, Inc. (Toyota) for the five types of performance listed in line must be fully marked as required by its Venza vehicle line beginning in MY section 543.6(a)(3): Promoting 49 CFR parts 541.5 and 541.6 (marking 2021. activation; preventing defeat or of major component parts and circumvention of the device by Issued in Washington, DC, under authority replacement parts). delegated in 49 CFR 1.95 and 501.8. unauthorized persons; preventing NHTSA notes that if any Raymond R. Posten, operation of the vehicle by manufacturer listed in this notice unauthorized entrants; and ensuring the wishes in the future to modify the Associate Administrator for Rulemaking. reliability and durability of the device. device on which this exemption is [FR Doc. 2020–10028 Filed 5–8–20; 8:45 am] Moving forward, to facilitate the based, the company may have to submit BILLING CODE 4910–59–P agency’s consideration of complete a petition to modify the exemption. petitions in a timely manner, NHTSA is Section 543.8(d) states that a Part 543 planning to publish a Federal Register exemption applies only to vehicles that DEPARTMENT OF THE TREASURY notice clarifying the type of information belong to a line exempted under this that can serve as a valid basis for part and equipped with the antitheft Office of Foreign Assets Control granting a request for exemption from device on which the line’s exemption is [Case IDs MALI–16234, MALI–16277, and the Theft Prevention Standard. based. Further, section 543.10(c)(2) MALI–EO13882–16735] Specifically, NHTSA will be providing provides for the submission of petitions this clarification because it has received ‘‘to modify an exemption to permit the Notice of OFAC Sanctions Actions a few petitions in which the petitioners use of an antitheft device similar to but have sought to support their request for AGENCY: Office of Foreign Assets differing from the one specified in the Control, Treasury. exemption with data comparing the exemption.’’ theft rate of a particular vehicle line to The agency wishes to minimize the ACTION: Notice. the industry median or average vehicle administrative burden that section theft rate. The notice will not impose SUMMARY: The Department of the 543.10(c)(2) could place on exempted Treasury’s Office of Foreign Assets any new requirements for manufacturers vehicle manufacturers and itself. The seeking exemptions from the parts- Control (OFAC) is publishing the names agency did not intend in drafting Part of one or more persons that have been marking requirement or otherwise 543 to require the submission of a change Part 541. As will be explained placed on OFAC’s Specially Designated modification petition for every change Nationals and Blocked Persons List further in that notice, 49 CFR 543.6(a)(5) to the components or design of an does not refer to NHTSA’s considering based on OFAC’s determination that one antitheft device. The significance of or more applicable legal criteria were comparisons of the theft rate of the many such changes could be de subject vehicle in a petition to the satisfied. All property and interests in minimis. Therefore, NHTSA suggests property subject to U.S. jurisdiction of industry-wide median or average theft that if any manufacturer listed in this rate when evaluating a request for these persons are blocked, and U.S. notice contemplates making any persons are generally prohibited from exemption under Part 543. Instead, changes, the effects of which might be under 49 CFR 543.6(a)(5), NHTSA is to engaging in transactions with them. DATES: See SUPPLEMENTARY INFORMATION consider ‘‘any statistical data that are 8 This is because, to make a valid comparison, available to the petitioner and form a NHTSA must carefully choose two sets of vehicles section for effective date(s). basis for petitioner’s belief that a line of that are as nearly similar as possible so that the FOR FURTHER INFORMATION CONTACT: passenger motor vehicles equipped with agency can be reasonably certain that any OFAC: Associate Director for Global differences or similarities in the theft rates of the the antitheft device is likely to have a two sets of vehicles can be attributed to the Targeting, tel.: 202–622–2420; Assistant theft rate equal to or less than that of presence of an anti-theft device or parts marking Director for Sanctions Compliance & passenger motor vehicles of the same, or and not to extraneous, confounding variables. Evaluation, tel.: 202–622–2490;

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