Tesla fined $2.2 million in Korea over false advertising

Tesla fined $2.2 million in Korea over false advertising

Tesla has been fined 2.8 billion won, roughly $2.2 million, in South Korea for violating the country’s advertisement laws. According to Bloomberg, Tesla made false claims about the driving range and charging speed of its electric vehicles as well as estimated savings on fuel costs.

The offending advertisement was changed by Tesla on its Korean website last February after the Fair Trade Commission launched its investigation, the fine is for misleading prospective customers in the first place.

In addition to the 2.8 billion won fine, the regulator will levy an extra 1 million won on Tesla for violating the electronic commerce act because it failed to provide enough information on its cancellation policy. The Free Trade Commission said it plans to send a notice to Tesla explaining how it can address the raised concerns.

On Monday, Tesla issued its Q4 2022 and full-year 2022 production and delivery figures. It revealed that deliveries had grown in 2022 but only by 40%, that’s below the 50% goal that the company had envisioned. The car maker has got off to a bad start of the year but there's still plenty of 2023 for it to turn things back in its favour.

Source: Bloomberg