Tesla vehicles in South Korea are experiencing widespread battery failures, which could cost the company millions in government subsidies that help make its cars affordable to buyers.
What's happening?
According to Electrek, nearly 4,500 Tesla Model 3 and Model Y vehicles in South Korea have reported a major battery system error.
The malfunction triggers a safety protocol that limits the car's maximum charge to 50%, drastically reducing driving range and leaving many drivers unsure of what to do.
The issue caught the attention of Citizens United for Consumer Sovereignty, a local advocacy group, which called for a thorough investigation and suggested that a recall might be necessary.
The Environment Ministry didn't mince words. Officials warned Tesla that if the company doesn't act soon, it could lose its spot in the country's EV subsidy program that helps drivers afford electric cars.
"We can't justify using public money on vehicles that disadvantage consumers," an official said, adding that a subsidy freeze is possible if the company doesn't respond soon.
Why is the fault concerning?
If those incentives disappear, Tesla prices in South Korea could climb, putting the cars out of reach for many buyers.
That could lead shoppers to consider other electric brands — or even return to traditional gas vehicles, which would slow the country's shift toward cleaner transportation.
Tesla has faced scrutiny before. Some experts have debated how much cold weather really affects driving distance, while a software update meant to boost battery life left some drivers confused after sudden changes. It's another reminder that consistency counts as much as innovation.
What is Tesla doing about it?
The Environment Ministry has urged Tesla to cooperate fully with investigators and fix the problem quickly.
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In the meantime, affected drivers are filing complaints and asking for compensation. Consumer groups say they'll continue following the issue until Tesla resolves the problem.
For drivers weighing their options, several automakers — including Hyundai, Kia, and Polestar — continue to expand their EV lineups in Korea and abroad, offering more choices with strong local support.
Drivers interested in switching to an electric vehicle can also explore a range of reliable, incentive-backed options from other automakers.
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