Tesla allegedly misled South Korean customers over automated-driving software
An advocacy group plans to file a complaint alleging Tesla marketed driver-assistance software that most vehicles in the country cannot legally use.
An advocacy group plans to file a complaint with a consumer protection agency on Thursday, alleging that Tesla misled tens of thousands of South Korean customers. According to reports by Deccan Chronicle and The Economic Times, the group claims Tesla marketed Full Self-Driving (FSD) software that the company knew could not be legally used in most of its vehicles in South Korea.
The complaint to the Korea Fair Trade Commission (KFTC) alleges Tesla promoted FSD as 'coming soon' and used a demonstration video filmed in South Korea without disclosing that the technology only works on a small fraction of vehicles. Tesla Korea country manager Seo Young-deuk testified in parliament last month that FSD can only be used on approximately 20 per cent of registered Tesla vehicles in South Korea, specifically those manufactured in the US.
Most Tesla vehicles in South Korea are manufactured in China, where no free trade agreement exists to recognise US vehicle-safety standards. Data submitted by Tesla to the National Assembly showed that 99 per cent of new Teslas sold in South Korea could not legally use FSD last year. Sales of FSD-incompatible China-made Teslas grew more than fivefold in the country from 2023 through last year.
Choi Young-suk, who leads automotive issues at the advocacy group Citizens United for Consumer Sovereignty, said Tesla generated substantial revenue by selling the expensive system to buyers who cannot use it. The group has asked the KFTC to issue a cease-and-desist order on marketing FSD for ineligible vehicles and to impose administrative fines.
A KFTC official stated the agency launched a probe into Tesla's FSD advertising earlier this year and has received written responses from the company. Tesla did not respond to requests for comment.