Tesla changes S.Korea ads after antitrust probe faulted batteries -Breaking
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© Reuters. FILEPHOTO: A Tesla logo appears on a car at Los Angeles, California (USA), July 9, 2020. REUTERS/Lucy Nicholson2/2
SEOUL (Reuters) – Tesla, (NASDAQ:) Inc. made a change to an advertisement about its Model 3 driving range in South Korea. This was after an antitrust regulator discovered that Tesla had overstated the specs of its batteries.
The Model 3 sedan description on Tesla’s Korean-language web site was changed to say the vehicle is capable of travelling a “maximum” of 528 kilometres (328 miles) on a single charge, from “more than” 528 kilometres, screen shots captured by local media showed.
This week, the Korea Fair Trade Commission (KFTC), stated that it sent an email to the U.S. maker of electric vehicles (EVs) stating it had overestimated some models’ mileage in violation of the Act on Fair Labeling and Advertising.
An analyst stated that most electric vehicles would experience loss of range during cold temperatures.
A KFTC official said that the commission would give an opportunity for the manufacturer to reply to our findings and hold a general meeting in order to discuss and determine how much the automaker violated the law. He declined to identify the sensitive matter because it is confidential.
The Model 3’s description on the U.S. site stated that it could travel anywhere up to 358 miles with a single charging. This distance is equivalent to approximately 576 km
Hyundai Motor Co’s Ioniq 5 midsize crossover is described as able to travel a maximum of 429km with a single charge.
While analysts agree that labelling driving ranges should be done according to each country’s regulations, KFTC’s claim about Tesla’s mileage advertising would have no impact on sales. They cite Tesla’s dominant position in the EV marketplace and its reputation.
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