Tesla Korea's 'unverified' FSD under scrutiny

Tesla Korea’s vehicles equipped with supervised Full Self-Driving (FSD) will be facing tighter scrutiny after the company came under criticism during the National Assembly’s annual audit, Thursday, over the system’s lack of an official safety evaluation by relevant authorities in Korea.

Some 45,000 U.S.-made Tesla vehicles equipped with FSD are currently on Korean roads, but the autonomous driving system has not undergone a government safety test.

During the audit, Tesla Korea Country Manager Seo Young-deuk said the company plans to seek formal approval for FSD in Korea. He acknowledged that it has not officially requested testing by the Ministry of Land, Infrastructure and Transport or the Korea Transportation Safety Authority — two key authorities related with auto safety certification.

“We have not requested any tests from the authorities,” Seo said. “If the government establishes a system and channel for verification, we will actively undergo the evaluation.”

U.S.-made Tesla vehicles currently operate with supervised FSD in Korea. More than 70 percent of Tesla Korea’s sales are made up of vehicles produced in China, including the Model Y, but FSD is currently available only on cars made in the U.S.

Seo said U.S.-made Tesla vehicles can operate using the feature under the Korea-U.S. free trade agreement, while other vehicles, such as the models imported from China, must comply with Korean regulations.

According to the land ministry, it cannot block U.S.-made Tesla vehicles from accessing FSD, as there is currently no international governing standard.

Tesla maintains a policy under which the driver remains responsible for any accidents that occur while operating FSD.

Meanwhile, BYD Korea also caught flak for its alleged overseas transfer of Korean customers’ personal data.

Cho In-chul, CEO of passenger vehicle division at BYD Korea, appeared before the audit to respond to allegations that customers who refuse to consent to the overseas transfer of their personal information could face restrictions when purchasing vehicles.

Rep. Kim Eun-hye of main opposition People Power Party said BYD’s privacy policy allows personal information, including customers’ names, email addresses, vehicle identification numbers and license plate numbers, to be transferred to BYD’s headquarters in Shenzhen, China.

She presented a recording from a BYD retail store suggesting that customers who refuse to consent to the transfer could face difficulties purchasing a vehicle.

“I will look into it again and see whether there is a way (to address the issue),” Cho said.

Kim also raised concerns over China’s data security law, asking whether BYD’s headquarters could refuse a request from Chinese authorities for Korean customer information.

Cho did not give a direct answer, only saying that BYD Korea would “strictly comply with Korea’s personal information protection law.”

The heads of the two electric vehicle (EV) makers also faced questioning over whether the carmakers have built sufficient safety-related infrastructure to support their rapid sales growth in Korea.

According to the Korea Automobile Importers and Distributors Association, Tesla registered 89,148 new vehicles in the country between January and September, up 104.4 percent from a year earlier. The figure has been driven mostly by surging sales of the Chinese-manufactured Model Y EVs, which have gained traction due to competitive pricing.

BYD’s sales also surged 578.7 percent year-on-year to 20,137 units during the same period. The performance is particularly noteworthy in that the brand’s passenger cars debuted in January 2025, and have less than two years of sales history here.

Tesla and BYD are the fastest-growing overseas auto brands in Korea in terms of sales.