South Korea fines Tesla $2.2 million for EV range exaggeration: Report

South Korea’s antitrust regulator said it would impose a 2.85 billion won ($2.2 million) fine on Tesla for failing to tell its customers about the shorter driving range of its electric vehicles (EVs) in low temperatures.
 

The Korea Fair Trade Commission (KFTC) said that Tesla had exaggerated the “driving ranges of its cars on a single charge, their fuel cost-effectiveness compared to gasoline vehicles as well as the performance of its Superchargers” on its official local website since August 2019 until recently.
 

The driving range of the American EV manufacturer's cars plunge in cold weather by up to 50.5% versus how they are advertised online, the KFTC said in a statement on Tuesday.
 

Tesla could not be immediately reached for comment.
 

On its website, Tesla provides winter driving tips, such as pre-conditioning vehicles with external power sources, and using its updated Energy app to monitor energy consumption, but does not mention the loss of driving range in sub-zero temperatures.
 

In 2021, Citizens United for Consumer Sovereignty, a South Korean consumer group, said the driving range of most EVs drop by up to 40 per cemt in cold temperatures when batteries need to be heated, with Tesla suffering the most, citing data from the country's environment ministry.
 

Worries over weak demand, logistical issues
 

 Tesla’s shares kicked off 2023 with a near 4 per cent drop on Tuesday, extending a sell-off from their worst year on growing worries about weak demand and logistical problems that have hampered deliveries. 
 

The latest slide came after the world's most valuable automaker missed estimates for fourth-quarter deliveries despite shipping a record number of vehicles.