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Tesla Under Probe In South Korea For Supposed Issues With Autopilot, Other Braking, Steering Systems


Benzinga | Jul 29, 2020 04:04AM EDT

Tesla Under Probe In South Korea For Supposed Issues With Autopilot, Other Braking, Steering Systems

South Korean authorities have launched a safety probe into Tesla Inc.'s (NASDAQ:TSLA) vehicles, Reuters reported Wednesday.

What Happened: The country's transport ministry said the investigation is related to the automaker's braking and steering systems, including the Autopilot function, according to Reuters.

Local media reports suggest Tesla Model 3 is the primary focus of the probe, but officials didn't affirm the claim.

The South Korean government is expecting to conclude the investigation in six months to a year, as per Reuters.

Why It Matters: The probe comes at a time when Tesla is seeing rising interest in the country.

The Elon Musk-led company sold a record 2,827 units in South Korea in June, with Model 3 being the second most-imported vehicle after Daimler AG's (OTC:DDAIF) Mercedes E-Class.

The United States National Highway Traffic Safety Administration in February this year determined limitations of the Autopilot features to be one of the causes of a 2018 Model S crash that killed Apple Inc. (NASDAQ:AAPL) engineer Walter Huang.

The federal agency is also probing battery cooling systems in the same model line for vehicles manufactured between 2012 and 2016.

Price Action: Tesla shares traded 1.3% higher at $1,495.53 in the pre-market session Wednesday.









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