Tesla (TSLA.US), Stellantis (STLA.US), and Other Automakers "Dodge a Bullet" as Italian Regulator Accepts Compliance Pledges Without Fines

Stock News12-19 18:45

Italy's competition and market regulator, AGCM, announced on Friday that it has concluded its investigation into Stellantis (STLA.US), Tesla (TSLA.US), BYD Company Limited, and Volkswagen AG (VWAGY.US). The probe, initiated in February, focused on potential unfair commercial practices related to disclosures about electric vehicle (EV) range, battery degradation, and warranty terms.

AGCM found that the automakers' websites often provided unclear or contradictory information about EV range, failing to adequately explain factors affecting performance. Additionally, details on battery capacity decline and warranty conditions were deemed insufficiently transparent, making it difficult for consumers to assess battery longevity and make informed purchasing decisions.

The regulator stated that the companies have agreed to revise their website disclosures to present information more clearly. AGCM accepted their compliance commitments and opted against imposing financial penalties. Under Italian consumer protection laws, violations could have resulted in fines ranging from €5,000 to €10 million.

The automakers also pledged to introduce range simulation tools, enabling consumers to compare models within the same segment. Stellantis, BYD, and Volkswagen will further enhance their battery degradation warranty policies.

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