Tesla is suspected of exaggerating its assisted driving function, and California is likely to impose a penalty of a 30-day suspension of sales. However, the suspension will not take effect until 90 days later.

date
18/12/2025
Steve Gordon, director of the California Department of Motor Vehicles, said that California is likely to impose a 30-day suspension on Tesla for allegedly misleading consumers in its promotion of its driver assistance functions. Gordon stated at a press conference on Tuesday that the decision had been made to adopt the penalty recommendation proposed by an administrative judge, but the suspension will not take effect until 90 days later to give Tesla time to make compliance adjustments. As of the time of this report, Tesla's stock price fell 0.8% in after-hours trading. Tesla has not yet responded to requests for comment. "Our real request is for Tesla to be responsible - just like they do in other markets - and properly label these vehicles," Gordon said. The sales suspension penalty will have a significant impact on Tesla. California is not only Tesla's largest sales market in the United States, but also one of the main locations of the company's factories. Even a temporary sales interruption could result in high costs.