(1) The agreement is to ensure that PCB ASSEMBLY products meet the requirements in terms of technology, quality and environmental protection. Also, the responsibility and solution for the problems of technology, quality and environmental protection are clarified.
(2) Both parties shall strictly abide by the provisions and requirements of each article on the agreement. In the case of batch quality problems or quality incidents due to the violation of the agreement, the defaulting party should take full responsibility and make compensation for the losses by the provision of the agreement.
2. Quality inspection and acceptance criteria
The PCB assembly process criteria must comply with IPC-A-610D (Class II - electronic products for special service) and the relevant criteria requirements in the corresponding process requirements provided by Party A.
3. Quality guarantee terms
(1) ZF establishes and maintains a documented quality system in accordance with client requirements and ISO9001 standards (AITF:16949 for automotive products, ISO:13485 for medical products) in order to continuously improve the quality assurance capabilities. Party B has the authorization, and part A does not make mandatory requirements.
(2) When necessary, it is possible to visit the production scene of ZF Electronics or review the quality assurance system of ZF Electronics at any time.
(3) ZF should be notified on paper in advance when there are changes on the technical drawings, technical indicators, production processes or raw materials approved by both parties. ZF must strictly implement the relevant change requirements. It will be regarded as self-change if changes occur when ZF has not received notification on paper from the client. The client will have corresponding penalties from ZF Electronics.
(4) It is necessary to process products in strict accordance with the mutual requirements of quality, technology (processing methods, production equipment, inspection methods) and auxiliary materials. If any changes affect the process and quality requirements, ZF Electronics has to notify the client on paper and re-send samples for confirmation. Otherwise, ZF will have corresponding penalties from the client.
(5) It is necessary to purchase, produce and process strictly in accordance with the corresponding materials of each order from the client. A paper agreement should be used when the material required by the client is replaced for production and processing.
(6) ZF ensures that the batch qualified rate of products is 98% and above when the client goes to the factory for inspection. The qualified rate for online use is 99.75% and above. If ZF has the PCBA test from the client, Party B ensures that the product qualified rate is 99.9% and above when Party A goes to the factory for inspection while the qualified rate for online use is 99.95% and above. Otherwise, Party A will be punished based on the "quality responsibility and economic compensation terms" in this agreement, and it will be included in the supplier assessment as well as reduce the supply quantity.
4. Product inspection and judgment of unqualified products
(1) The client adopts sampling inspection for the acceptance of the products provided by ZF.
(2) If there is any unqualified inspection item in PC unit products (specially refer to the sample), it will be judged as unqualified.
(3) Confirmation of unqualified batches
According to (Fatal defect: 0; Serious defect: 0.25; Minor defect: 1.0) normal single sampling plan for random inspection, the inspection should be implemented based on the relevant technical requirements of the material quality (inspection) standard. The batch of products can be defined as unqualified if the number of unqualified products exceeds the accepted standard.
In terms of the process of production and use of products from ZF, the batch of products will be judged as unqualified if the unqualified rate of any order is greater than the unqualified rate (1%) in article 2.2 of this agreement.
5. Quality responsibility and economic compensation terms
The qualified rate of incoming batches is counted according to each order. If the qualified rate of PCBA batch in one month is less than 98%, every 1 percentage point lower (less than 1% is calculated as 1%) will be required to compensate 1% of this order, et cetera.