SENMIAO CUTLERY MANUFACTURING DEFECT & WARRANTY POLICY

(Standard B2B Terms for Global Distributors, Retailers & Private Label Partners)

1. Purpose & Scope (目的与适用范围)

This policy governs all OEM, ODM, and wholesale orders manufactured by Yangjiang Senmiao Kitchen Products Co., Ltd. ("Manufacturer"). It outlines the standards for defining, reporting, and resolving manufacturing defects to ensure transparent cooperation while upholding mutual commercial protection.

2. Quality & Inspection Standards (质量与验收基准)

1. Acceptance Quality Limit (AQL): Unless formally agreed upon in writing otherwise, all mass production undergoes pre-shipment inspection compliant with ISO 2859-1 (ANSI/ASQ Z1.4) General Inspection Level II:

   • Critical Defects: 0

   • Major Defects: 2.5

   • Minor Defects: 4.0

2. Manufacturing Tolerances (允许制造公差): Due to the artisan, hand-finishing, and metallurgical nature of cutlery manufacturing:

   • Dimensions & Hardness: Overall blade length/thickness tolerance is $\pm 0.3\,\text{mm}$; Hardness variance across batches is within $\pm 1.5\,\text{HRC}$ of approved golden samples.

   • Damascus & Tsuchime Textures: Damascus fold patterns and hammered (Tsuchime) finishes are inherently unique; visual nuances, organic fold lines, or contrast variances are metallurgical characteristics, not manufacturing defects.

   • Natural & Composite Handles: Color hues and grain patterns in stabilized wood, natural burl, Pakkawood, and carbon fiber composite variations are inherent traits of composite/natural stock and do not constitute cosmetic defects.

3. Definition of Manufacturing Defects (缺陷认定标准)

To qualify for claim resolution under this policy, defects must arise solely from raw material flaws, metallurgical failure, or workmanship during manufacturing:

• Covered Manufacturing Defects (属保修/索赔范围):

  • Blade delamination or separation of Damascus cladding layers under standard use.

  • Spontaneous blade cracking/chipping due to verified internal heat-treatment stress or voids (metallurgical failure).

  • Handle loose rivets, core tang separation, structural cracking at pins upon arrival.

  • Functional warping or blade curvature exceeding agreed technical drawing specifications.

  • Premature structural rusting/pitting evident upon carton unsealing prior to warehousing (excluding rust induced by poor storage humidity).

• Exclusions & Disclaimers (非制造缺陷 / 绝对免责范围):

  • Misuse & Abuse: Edge rolling or micro-chipping caused by cutting bones, frozen foods, hard stones, or opening cans with non-cleaver chef knives.

  • Improper Maintenance: Rust, oxidation, or patina formed on high-carbon core steels (e.g., 10Cr15CoMoV / VG10) resulting from acidic food contact, lack of drying, or dishwashing.

  • Dishwasher Damage: Any handle deterioration, wood cracking, or blade corrosion caused by machine dishwashers.

  • Third-Party Modifications: Secondary grinding, regrinding, laser marking, or custom modifications executed by the Buyer or end-consumers.

  • Normal Wear & Tear: Expected dulling of the cutting edge over time and standard handling micro-scratches.

  • In-Transit / Force Majeure Damage: Damage caused by ocean freight moisture, container condensation, rough port handling, or customs inspection delays (Buyer's marine insurance covers FOB shipments).

4. Claim Windows & Notification Timeline (索赔窗口与时效)

To balance buyer inspection needs and prevent stale inventory claims:

1. Exterior & Concealed Arrival Inspection:

   • Visual / Cosmetic Claims: Must be submitted within 14 calendar days of shipment delivery at the Buyer's port/warehouse.

   • Latent / Structural Workmanship Claims: Must be submitted within 90 calendar days from the Bill of Lading (B/L) date.

2. End-Consumer Tier Warranty:

   • Manufacturer provides a 12-Month Limited Structural Warranty against spontaneous weld/handle structural breakage, provided the end-user adhered to official care instructions.

5. Standard Operating Procedure for Claims (SOP 索赔流程)

Any claim submitted by the Buyer must follow this verified verification protocol:

1. Claim Submission: The Buyer must provide:

   • Order Number & Batch Production Date.

   • Detailed description of the failure and defect quantity.

   • High-resolution photos and video demonstrating the defect under adequate lighting.

   • Macro close-up photos of the blade edge, tang/handle connection, and batch stamp (if applicable).

2. Factory Assessment (5 Business Days): Senmiao's QC and metallurgical engineering team will evaluate the evidence.

3. Sample Retrieval (If Required): If visual evidence is inconclusive, Buyer agrees to return 2–3 defective units to Manufacturer's facility (or local designated agent) for metallurgical testing. Shipping cost of samples will be reimbursed by Senmiao if the defect is confirmed manufacturing-related.

6. Remediation & Compensation Options (补救与赔付机制)

Once a manufacturing defect is validated by Senmiao Kitchen:

• Direct Replacement / Spare Allowance:

  • For small batch defect rates (within $0.5\% - 2\%$ of order volume), replacement units or credit notes will be automatically applied to the Buyer’s next scheduled production run.

  • Alternatively, Senmiao can supply a pre-agreed $0.5\% - 1\%$ free-of-charge spare parts buffer (blades, handles, or completed units) with large container shipments.

• Credit Note / Refund: A commercial credit corresponding to the unit cost of defective items will be issued against outstanding balances or future invoices.

• Local Rework Compensation: If minor cosmetic blemishes can be polished or resharpened locally, Senmiao may offer a mutually agreed rework allowance per unit, not to exceed the original manufacturing FOB unit cost.

7. Limitation of Liability (责任上限条款)

• Monetary Cap: The Manufacturer’s aggregate liability for any and all claims, whether in contract, tort, or warranty, shall not exceed the total FOB invoice value of the affected defective goods.

• No Consequential Damages: Senmiao Kitchen shall not be held liable for Buyer's lost profits, Amazon/retail account suspension penalties, inbound shipping/duties, marketing overhead, or punitive damages.