The Korea Fair Trade Commission (FTC) imposed a large penalty surcharge on Mercedes-Benz Korea, saying it concealed the fact that it used battery cells recalled for fire risk. Benz Korea said it cannot agree with the FTC's decision and will pursue legal procedures.
Benz Korea said on the 10th, "We have cooperated faithfully with the relevant authorities since the early stages of the investigation and respect the resolution of the Korea Fair Trade Commission (FTC) full commission meeting," but added, "We do not agree with the Commission's decision."
That day, the Korea Fair Trade Commission (FTC) announced that a full commission meeting voted to impose a 11.239 billion won penalty surcharge on Benz Korea. It said that in June 2023 the company omitted the fact that Parasis battery cells were used in the electric models Benz EQE and EQS and produced and distributed sales guidelines that stated as if CATL battery cells were installed.
Parasis has a history of a large recall in China in March 2021 due to battery fire risk, just before the EQE was released in Korea (2022). The Korea Fair Trade Commission (FTC) concluded that Benz Korea and the German headquarters knew Parasis battery cells were used but did not mention this at all in the sales guidelines. It filed a complaint with prosecutors, saying an investigation is needed into how the two corporations specifically deceived consumers.
Benz Korea emphasized, "We operate our business with a high level of corporate ethics and responsibility and in compliance with laws," adding, "Compliance is a key element of our corporate culture, and we strive to uphold this value."
It added, "Benz Korea has provided correct and accurate information to the media and customers," and "We plan to continue to present our position through legal procedures, including filing an administrative lawsuit."