FTC to Host Public Workshop Examining the U.S. Auto Distribution System Workshop Will Explore Competition, State Regulations, and Emerging Trends in the Industry, Project No. P131202
I am a Michigan Tesla Model S owner concerned about the dealer franchise laws which appear to be restricting Tesla from operating a service facility in our state. While electric vehicles have few moving parts as compared to internal combustion engine powered vehicles and require much less service, Tesla still recommends a simple service checkup every 12,500 miles. The closest Tesla Service centers to me are in Higland Park, IL, 340 miles away, and in Cleveland, OH which is over 400 miles away. This makes it inconvenient and expensive to bring my vehicle in for service and is anti-competitive. I understand that Tesla eventually plans to open a service facility in the state which would be much more convenient for Michigan Tesla owners but that state laws prevent them from doing so. I have discussed my concerns with state Senator, Darwin Booher, who represents my Senate district and who earlier received recommendations from the Federal Trade Commission to help open up competition in Michigan but so far this matter has not been resolved. As you know, new vehicle technology is changing rapidly with the deployment of EV's and autopilot. This anti-competitive practice is limiting the deployment of these new vehicle technologies here and should be reversed. When I purchased my vehicle late 2014 I had to do it on the internet and then drive to Canada to take a test drive because Tesla was not allowed to operate in Michigan. Fortunately, it all worked out ok but this is a very inconvenient way to have to purchase a car and again demonstrates the anti-competitive nature of these laws. Thank you for allowing me to comment on this matter.