Paris, France – Tesla, the renowned US electric vehicle (EV) manufacturer, is facing increased scrutiny in Europe. French anti-fraud authorities, the Direction Générale de la Concurrence, de la Consommation et de la Répression des Fraudes (DGCCRF), have ordered Tesla France to cease what they deem as “deceptive commercial practices.” This action follows a comprehensive investigation revealing misleading claims regarding battery range, price increases, and repair costs.

The DGCCRF’s investigation was triggered by consumer complaints and focused on several key areas. Firstly, concerns were raised about Tesla’s advertising, which allegedly overstated the actual range achievable by its vehicles under typical driving conditions. Consumers reported significant discrepancies between advertised range figures and real-world performance, particularly when factoring in weather conditions and driving style. Secondly, the investigation highlighted instances where Tesla implemented substantial price increases after customers had placed orders but before delivery, a practice deemed unfair and lacking transparency.

Furthermore, the DGCCRF found that Tesla France had not adequately informed customers about the potential costs associated with vehicle repairs, specifically concerning battery replacements. The high cost of battery replacements, often exceeding several thousand euros, was reportedly not clearly communicated during the sales process, leading to unexpected and potentially significant financial burdens for Tesla owners.

“Tesla’s commercial practices have been found to be misleading and unfair to consumers,” stated a spokesperson for the DGCCRF. “We have ordered Tesla France to immediately cease these practices and to take corrective measures to ensure greater transparency and fairness in their sales and customer service operations.”

What does this mean for Tesla Malaysia? While the order is specific to Tesla France, this development serves as a cautionary tale for Tesla operations globally, including Tesla Malaysia. With increasing consumer awareness and stricter regulatory oversight in the EV sector, transparency and ethical sales practices are paramount. Consumers in Malaysia are increasingly discerning and expect clear and accurate information regarding vehicle performance, pricing, and long-term ownership costs.

Tesla has been instructed to provide the DGCCRF with a detailed plan outlining how it intends to rectify the identified issues. Failure to comply with the order could result in significant fines and further regulatory action. The DGCCRF is also considering whether to extend its investigation to other aspects of Tesla’s operations in France.

This situation underscores the growing importance of consumer protection in the rapidly expanding electric vehicle market. As EVs become more mainstream, regulators worldwide are paying closer attention to ensure that manufacturers are operating with integrity and providing consumers with accurate and reliable information. The outcome of this case will likely set a precedent for how other EV manufacturers are held accountable for their sales and marketing practices.

Key Takeaways for Malaysian Consumers:

• Verify Range Claims: Don't rely solely on advertised range figures. Research real-world range experiences from other owners.
• Understand Pricing Policies: Carefully review purchase agreements and be aware of potential price fluctuations.
• Inquire About Repair Costs: Ask about the cost of potential repairs, especially battery replacements, before making a purchase.

The case involving Tesla France is a reminder for all EV buyers to do their due diligence and to be fully informed before investing in an electric vehicle.