France says Tesla lied about FSD and more, 4 months to comply or be fined
The French Ministry of the Economy has found that Tesla violated the law in several ways related to “deceptive business practices,” and has ordered the company to comply in 4 months or face a fine for every day it does not.
The investigation started in 2023, in response to several reports through France’s consumer complaint service SignalConso.
It concluded today, and French authorities from the DGCCRF (Directorate-General for Competition, Consumer Affairs and Fraud Prevention) division of the Ministry of the Economy found several examples of ways that Tesla had misled customers or otherwise failed to comply with French consumer protection laws.
A summary of the ruling in French is available here, and here are the bullet points via browser translation:
- Sales contracts without date or deadline or place of delivery of the vehicle and not mentioning payment on credit;
- Payments required before the end of the withdrawal period enjoyed by the consumer when he finances his purchase with an assigned credit;
- Absence of receipt valid in the event of partial cash payment;
- Misleading business practices regarding the fully autonomous driving capacity of TESLA vehicles, the availability of certain options and vehicle trade-in offers;
- Failure to refund within the deadlines of orders for which consumers have exercised their right of withdrawal;
- Lack of prior information on delivery methods and in particular its place;
France has given Tesla 4 months to comply with its order. If it doesn’t, France will fine the company 50,000 euros ($58k USD) per day.
Most of these bullet points deal with the ordering and delivery process, and it seems that French authorities took issue with the haphazard nature in which Tesla vehicle deliveries can often happen. They took issue with Tesla’s incomplete sales contracts, sudden and/or repeatedly changing delivery times or locations (and the value of trade-in offers), and failure to refund deposits in a timely manner.
But the meatiest bullet point there is the one about “misleading business practices,” especially given this weekend’s news of Tesla’s Robotaxi launch in Austin.
France finds that Tesla lied about FSD
French authorities found that Tesla had misled customers “regarding the fully autonomous driving capacity of TESLA vehicles.”
Since 2015, Tesla has sold some sort of partial automation to the public. This started in the form of Autopilot, which was released in the US in late 2015 and focused on highway driving only (though it came later to France than the US). More recently, Tesla’s focus has been on Full Self-Driving, or FSD, which is more capable than Autopilot and works on surface streets as well as highways.
Tesla has sold FSD software for various prices over the years, as high as $15,000. It currently sells “Capacité de conduite entirément autonome” in France for 7,500 Euros.
The problem is: this software does not, in fact, drive you entirely autonomously. It is, at the moment, a “level 2” driver assist function, which still requires a driver in the driver’s seat to take full responsibility for the vehicle. Higher levels, 3 and above, could be considered “self-driving,” where the car takes responsibility at certain times, and above level 4, there’s no requirement for a driver to even be in the driver’s seat.
Another wrinkle is that even the driver-assist version of FSD is currently not active in France. There has been a long process to bring FSD to Europe (here’s a recent report about how Tesla used a Dutch loophole to approve Autopilot in the first place), but it’s still not complete.
So, everyone who has bought the system in France has not yet been able to use it. Even if they could use the version that the US has, it would still not qualify as fully self driving.
In addition to this, Tesla has made several statements over the years suggesting FSD’s capabilities will be greater than they currently are. For example, in 2019, Tesla CEO Elon Musk said “if you buy a Tesla today, I believe you are buying an appreciating asset – not a depreciating asset.” He said this on the premise that FSD software would be so valuable that the price of cars that had it would skyrocket. In fact, he said it wouldn’t even be worth it for Tesla to sell cars anymore, because they’d be more valuable to use to make money as autonomous taxis.
Musk even promised that you, the customer, would be able to send out your car as an autonomous taxi to make you money, something that Tesla is now doing, but still not allowing customers to do. He has continued making the same promise, as recently as a few hours before this weekend’s Robotaxi launch.
Elsewhere in France, Tesla is also facing a lawsuit by a group of French Tesla owners who want to get out of their leases early due to Musk’s recent unwise political activity turning their vehicles into “far-right totems.”
Electrek’s Take
The complaints should not be particularly surprising to those who have followed Tesla for some time.
Mostly, they reflect the haphazard nature of Tesla’s vehicle ordering and delivery process which we have come to… love? hate? let’s go with “understand” over the years.
While Tesla does eschew dealerships and has made the vehicle ordering process much simpler in many ways, it’s also true that if there’s ever any reason for deviation from the plan, it’s pretty easy for customers to fall through the cracks and have little recourse. So, the reports of incomplete paperwork, rapidly-changing delivery times and so on should sound familiar to those of us who’ve been around for a while.
Same goes for failure to refund – Tesla has long tied a “reservation fee” to new vehicle announcements, which is often said to be fully refundable at any time. Some customers have had difficulty getting those refunds in a timely manner or at all.
The most interesting part about this order is how sweeping it is. Rather than finding fault in a single practice, it dings Tesla for a litany of issues that have been issues for a long time. Unlike the feckless enforcement that we often see in the US, France seems serious.
The fine is also substantial, but for one of the largest companies in the world (by market cap, anyway), it does seem absorbable. While ~$5 million per quarter is a fair chunk of change, it’s nothing compared to Tesla’s Q1 revenue of $19.3 billion or profit of $409 million.
But, given drastically falling sales in France, maybe it’s enough compared to the profits Tesla gets out of that territory. At a current sales rate of a few thousand cars per quarter, and given Tesla’s current ~2% profit margin and assuming an average selling price of somewhere around ~$60k, a fine of $5 million per quarter would basically eliminate any profits for the company from France.
Charge your electric vehicle at home using rooftop solar panels. Find a reliable and competitively priced solar installer near you on EnergySage, for free. They have pre-vetted installers competing for your business, ensuring high-quality solutions and 20-30% savings. It’s free, with no sales calls until you choose an installer. Compare personalized solar quotes online and receive guidance from unbiased Energy Advisers. Get started here. – ad*
FTC: We use income earning auto affiliate links. More.
Mercedes-Benz is sending nearly 5,000 electric vans to Amazon’s European delivery partners in its biggest EV handoff to date. The fleet will hit the streets in five countries in the coming months.
Three-quarters of the fleet are Mercedes’ larger eSprinter vans, while the rest are the more compact eVito panel vans. More than 2,500 are going to Germany, and Amazon says this new EV fleet will help deliver more than 200 million parcels a year across Europe.
This is the biggest EV order Mercedes-Benz Vans has ever received. It builds on a partnership that started in 2020, when Amazon first added more than 1,800 electric vans from Mercedes to its delivery network.
“We’re further intensifying our long-standing relationship with Amazon and working together toward an all-electric future of transport,” said Sagree Sardien, head of sales & marketing at Mercedes-Benz Vans. “Our eVito and eSprinter are perfectly tailored to meet the demands of our commercial customers regarding efficiency and range.”
In 2020, Mercedes-Benz joined Amazon’s Climate Pledge, a commitment Amazon co-founded with Global Optimism to reach net zero by 2040.
Both the eSprinter and eVito are designed with delivery drivers in mind. With batteries tucked into the underbody, the vans offer unrestricted cargo space. Both come standard with the MBUX multimedia system, which supports the integration of automatic charging stops and Mercedes’ public charging network via navigation.
Safety and comfort got upgrades, too. New driver assistance features come standard, and the Amazon vans are customized with shelves and a sliding door between the cabin and cargo area for easy parcel access.
The eVito vans, which were built at Mercedes’ plant in Vitoria, Spain, are ideal for last-mile urban deliveries. They come in 60 kWh or 90 kWh battery options, with peak motor outputs of either 85 kW or 150 kW, and can travel up to 480 km (298 miles) on a full charge.
Meanwhile, the eSprinter is the all-rounder for range and loading volume. Built in Düsseldorf, it comes in two lengths and three battery sizes, with a range of up to 484 km (300 miles). It boasts up to 14 cubic meters of cargo space and can handle a gross weight of up to 4.25 tonnes.
Read more: Amazon places its largest-ever order for electric semi trucks
If you live in an area that has frequent natural disaster events, and are interested in making your home more resilient to power outages, consider going solar and adding a battery storage system. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisers to help you every step of the way. Get started here. –trusted affiliate link*
FTC: We use income earning auto affiliate links. More.
It already outsold Tesla in the UK and Europe, but this could be just the start. BYD said it’s launching new vehicles, including EVs, faster than any carmaker in Europe has done so far.
BYD goes all in on Europe with new EVs, PHEVs
BYD took the spotlight earlier this month after launching its most affordable EV in Europe so far. The Dolphin Surf, a rebadged version of the Seagull EV sold in China, starts at just £18,650 (just over $25,000) in the UK.
At a UK launch event, Alfredo Altavilla, BYD’s special advisor for Europe, said (via Autocar) the “Dolphin Surf was the missing piece in the A/B-segment.”
It will compete with entry-level EVs, such as the Dacia Spring, the UK’s cheapest EV, which starts at £14,995 ($20,000).
Yet, the low-cost Dolphin Surf is only one piece of BYD’s master plan. “We have been launching six cars in less than a year,” Altavilla explained, adding, “We are covering all of the most important segments of the European car market.”
Altavilla even boasted that, “I have zero problem in saying I don’t think there has ever been such a product offensive done in Europe as the one BYD is doing.”
Although BYD is best known for its low-cost EVs, like the Seagull, which starts under $10,000 in China, the auto giant is quickly expanding into new segments.
BYD sells luxury vehicles under the Denza Yangwang brands. Denza is BYD’s answer to Porsche and other German luxury brands. Meanwhile, Yangwang is an ultra-luxury brand that will serve as BYD’s tech beacon.
According to Altavilla, this could be just the start. “We’re going to get together again after the summer break for another important reveal, and through the end of the year, there will be others,” BYD’s special advisor for Europe said.
BYD is set to begin production at its new plant in Hungary by the end of the year, enabling the company to customize vehicles for buyers in the region.
“As we go forward into 2026, more and more of the BYD line-up will be specific to this region,” Altavilla explained.
In separate news, BYD announced on Monday that its “Xi’an” car carrier is loaded and ready to ship off to the UK, Italy, Spain, Belgium, and other countries, carrying about 7,000 EVs and PHEVs.
Electrek’s Take
In what was called a “watershed moment,” BYD registered more vehicles in Europe than Tesla for the first time in April.
It also had more vehicle registrations in the UK than Tesla last month, with the Seal U taking the top spot for the most popular plug-in hybrid.
With the Dolphin Surf arriving, local production set to come online later this year, and several new models on the way, BYD is laying the groundwork to capture its share of the European auto market.
According to S&P Global Mobility forecasts, BYD is expected to more than double its sales in Europe this year, with around 186,000 vehicles sold. By 2029, BYD’s sales could double again to around 400,000. Between its plants in Hungary and Turkey, China’s EV leader is expected to have a combined capacity of 500,000 units.
FTC: We use income earning auto affiliate links. More.
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports1 year agoStory injured on diving stop, exits Red Sox game
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports2 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Sports2 years agoButton battles heat exhaustion in NASCAR debut
-
Environment2 years agoGame-changing Lectric XPedition launched as affordable electric cargo bike