Canada, US Hold Constructive Trade Talks as Tariff Negotiations Continue 
Delta Flight Makes Emergency Landing in Atlanta After Cockpit Fumes Reported 
Alphabet Stock Slides as Google AI Pioneer Jeff Dean Exits to Launch Discovery Loop 
Sinopec Boosts Russian ESPO Oil Purchases as Middle East Supply Tightens 
Philippine GDP Growth Slows to 2.3% in Q2 
US Dollar Gains as Iran Tensions, Fed Rate Hike Bets Rise 
Oil Prices Surge as Iran Hormuz Restrictions Renew Supply Fears 
Oil Prices Rise as Hormuz Reopening Remains Uncertain 
Mercedes-Benz Stock Offers Deep-Value Potential as Citi Sees Recovery Catalysts 
Meta Ordered to Pay $567M Over Child Safety Violations in New Mexico 
Berkshire Hathaway Cash Falls as Abel Boosts Stock Buybacks 
Nvidia to Invest Up to $3 Billion in Blackstone-Backed Lancium 
Asian Stocks Cautious Ahead of US Jobs Data as Oil Rises 
China Inflation Cools in July as CPI Misses Forecast, PPI Deflation Eases 
Japan Posts First Current Account Deficit in 17 Months as Dividend Payments Surge 
Japan Executives Warn Weak Yen and Currency Volatility Threaten Economy 
US Dollar Near Two-Month Low as Markets Await Inflation Data 
Ford Korea’s sales and service division was called out by the country’s Fair Trade Commission for stating that one of its vehicle models has a rear braking support system when there is none. The S. Korean trade watchdog said on Monday, May 31, it requested the local importer and seller of Ford to correct the false claim in its marketing materials.
The issue with incorrect advertising information
As per The Korea Herald, the FTC said that the seller of Ford in South Korea published an advertisement in 2019, stating that Ford Explorer Limited sport utility vehicle is equipped with a reverse braking system. The agency said this is a false claim because there is none.
It was said that in the automaker’s official website and brochures, it was claimed that the said braking system helps drivers to reverse the SUV “more confidently” and could also prevent collisions. However, the FTC reiterated that the Ford Explorer Limited does not have this function, for there is no such system in the vehicle.
It was reported that the issue was brought to FTC’s attention after customers filed complaints with the agency. The office has taken action, and it was said that Ford Korea immediately pulled out all its brochures that contain incorrect wording and deleted the related advertisement from its website as well.
“Advertising as if the car had the reverse braking support system is seen as a misleading and exaggerated claim,” the FTC said in a statement. “Such a claim over the reverse braking support system, which is an important factor to consider when purchasing a car, can disturb consumers’ rational decision-making processes so even though the advertisement is withdrawn, we are issuing a correction order to prevent a recurrence.”
Previous false ad involving Ford
It turned out that this is not the first time that Ford was called out for false advertising. It was reported that a Ford distributor was disciplined for releasing false claims. Sunin Motors was slapped with ₩150 million or $134,590 fine for claiming that Ford Taurus was fitted with the Hill Start Assist function when it was not, and this was in 2015.
“Regular consumers may misunderstand the advertisement as if the actual feature is installed,” Korea Joongang Daily quoted FTC as saying at that time. “This makes it difficult for consumers to make an informed product selection.”
