Tesla FSD South Korea complaint: consumers say China-built cars cannot use it

A South Korean consumer group has accused Tesla of misleading buyers about its Full Self-Driving (Supervised) software, saying the company sold the feature to customers whose cars could not legally use it in South Korea. The group, Citizens United for Consumer Sovereignty, said it would file a complaint with the Korea Fair Trade Commission (KFTC), the country's competition and consumer regulator, on Thursday, 5 November 2026. A KFTC official said the commission had already begun looking into Tesla's FSD advertising this year and had received written responses from the company, but gave no further details. The claims are allegations; no finding has been made against Tesla.

Tesla's FSD is a driver-assistance system, not a fully self-driving car. The word "Supervised" in its name means a human driver must watch the road and be ready to take over at all times. Whether such a feature can be used depends on a country's rules and on how each car is certified. In South Korea, according to the reports, US-built Teslas can use FSD, while China-built Teslas cannot legally do so. As Tesla shifted its Korean sales towards cheaper China-built cars, the group says, more and more buyers paid for a feature their cars could not legally switch on.

The case is about advertising and consumer rights rather than safety. The question for the regulator is whether Tesla told buyers clearly enough that the feature they were paying for might never work on their car. The KFTC has examined Tesla's advertising before: in 2022 it investigated whether Tesla exaggerated its cars' driving range.

There is a process dimension too. Tesla Korea's manager told a parliamentary hearing on 8 October that the company had not formally requested FSD testing from the transport ministry. About two weeks later, Tesla applied for certification, according to reports. If certification is granted for more cars, the dispute could change shape.

For Indian readers, the case is a reminder to check what a paid software feature actually does in their own country before buying. Many carmakers now sell features as one-time unlocks or subscriptions, and local rules decide whether they can be used.

Peepals calculation: At the reported prices, the old one-time FSD payment of 9.043 million won equals 60 months, or five years, of the new 150,000 won monthly subscription (9,043,000 ÷ 150,000 ≈ 60.3). Our calculation from the reported figures.

Short-term: The KFTC will consider the complaint alongside its existing inquiry into Tesla's FSD advertising. Tesla had not publicly responded to the complaint in the reports.

Long-term: If the regulator rules against Tesla, it could order changes to how FSD is marketed in South Korea, impose a fine, or open the way to refunds. A ruling could also influence how software features are sold with cars in other markets.

Who is affected: Tesla owners in South Korea who paid for FSD on China-built cars, prospective buyers, Tesla Korea, and regulators watching how carmakers sell software features.

What to watch next: Whether the Korea Fair Trade Commission acts on the complaint, and the outcome of Tesla's application to certify FSD in South Korea.

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