Most Popular
-
1
Controversy rekindled over when to name criminals, suspects
-
2
Seoul transit pass for travelers to be available starting July
-
3
Hybe-Ador CEO conflict gets messier
-
4
Battery makers ramp up efforts to diversify graphite supply chain
-
5
Prosecutors to summon pastor who allegedly gave Dior bag to first lady
-
6
‘Monk’ DJ spreading Buddhism goes global
-
7
[LLG] Unseen inheritance: Trauma of transnational adoption 'trickles down' to adoptees' children
![[LLG] Unseen inheritance: Trauma of transnational adoption 'trickles down' to adoptees' children](//res.heraldm.com/phpwas/restmb_idxmake.php?idx=644&simg=/content/image/2024/05/12/20240512050141_0.jpg&u=20240512163544)
-
8
[KH Explains] Hyundai Motor’s plan for new landmark keeps hitting bumps
![[KH Explains] Hyundai Motor’s plan for new landmark keeps hitting bumps](//res.heraldm.com/phpwas/restmb_idxmake.php?idx=644&simg=/content/image/2024/05/13/20240513050626_0.jpg&u=20240513192803)
-
9
Court's ruling set to shape path of medical school expansion
-
10
Loans of self-employed swell 50% in four years
![[LLG] Unseen inheritance: Trauma of transnational adoption 'trickles down' to adoptees' children](http://res.heraldm.com/phpwas/restmb_idxmake.php?idx=644&simg=/content/image/2024/05/12/20240512050141_0.jpg&u=20240512163544)
![[KH Explains] Hyundai Motor’s plan for new landmark keeps hitting bumps](http://res.heraldm.com/phpwas/restmb_idxmake.php?idx=644&simg=/content/image/2024/05/13/20240513050626_0.jpg&u=20240513192803)
BMW, Chrysler appeal against S. Korea's fuel efficiency fine
By KH디지털2Published : March 10, 2015 - 15:34
BMW and Chrysler, two of the four foreign carmakers fined in South Korea for allegedly exaggerating fuel efficiency, both said Tuesday they have filed an appeal against the test results in an effort not to have their brand image tainted among customers.
Late last year, the Ministry of Trade, Industry and Energy slapped fines ranging between 3 million won (US$2,677.38) and 4 million won on Audi, Volkswagen, Chrysler and BMW, based on its 2013 test in which one model from each of the auto firms came short of its claimed fuel mileage.
"An objection was raised as a means to protect our customers' faith in the brand," said an official from BMW Korea, the local distributing arm of the German auto firm.
"We will wait for the trade ministry's decision, now that the ball is in their court, and seek out an appropriate countermeasure depending on how things turn out."
The remaining two carmakers that were imposed fines, on the other hand, have paid their dues without filing an appeal. Under the current law, the deadline for an appeal ended on Monday.
Should the trade ministry turn down the appeals filed by BMW and Chrysler, the dispute will go to the administrative court for a final decision.
"(If this goes to court), we expect it to take between four and six months before a ruling is made," the BMW Korea official said, adding that compensation measures for its customers, if necessary, and further plans will be settled through negotiations with the carmaker's headquarters.
Aside from brand image, the two auto companies' opposition to the relatively petty fines may stem from concerns it could lead to a much bigger compensation for buyers here if the ruling is finalized.
Market watchers say the four carmakers could face billions of won in compensating customers, as was the case with Hyundai Motor Co. and GM Korea Co. who acceded to the government's conclusion that they did not provide accurate fuel efficiency data. Hyundai and GM Korea could face up to 56 billion won and 30 billion won in similar compensations, respectively.(Yonhap)
Late last year, the Ministry of Trade, Industry and Energy slapped fines ranging between 3 million won (US$2,677.38) and 4 million won on Audi, Volkswagen, Chrysler and BMW, based on its 2013 test in which one model from each of the auto firms came short of its claimed fuel mileage.
"An objection was raised as a means to protect our customers' faith in the brand," said an official from BMW Korea, the local distributing arm of the German auto firm.
"We will wait for the trade ministry's decision, now that the ball is in their court, and seek out an appropriate countermeasure depending on how things turn out."
The remaining two carmakers that were imposed fines, on the other hand, have paid their dues without filing an appeal. Under the current law, the deadline for an appeal ended on Monday.
Should the trade ministry turn down the appeals filed by BMW and Chrysler, the dispute will go to the administrative court for a final decision.
"(If this goes to court), we expect it to take between four and six months before a ruling is made," the BMW Korea official said, adding that compensation measures for its customers, if necessary, and further plans will be settled through negotiations with the carmaker's headquarters.
Aside from brand image, the two auto companies' opposition to the relatively petty fines may stem from concerns it could lead to a much bigger compensation for buyers here if the ruling is finalized.
Market watchers say the four carmakers could face billions of won in compensating customers, as was the case with Hyundai Motor Co. and GM Korea Co. who acceded to the government's conclusion that they did not provide accurate fuel efficiency data. Hyundai and GM Korea could face up to 56 billion won and 30 billion won in similar compensations, respectively.(Yonhap)
