MILAN, Italy: Italy's competition authority has launched an investigation into four major automakers—BYD, Stellantis, Tesla, and Volkswagen—over allegations of misleading consumers regarding their electric vehicles' performance.

The probe focuses on potential unfair commercial practices related to EV driving range, battery degradation, and warranty limitations, the regulator said in a statement this week. It aims to determine whether the automakers violated Italy's Consumer Code by failing to provide clear and accurate information.

According to the watchdog, the companies' websites present "generic and sometimes contradictory information" about EV driving range. The regulator argues that consumers are not sufficiently informed about factors that could significantly reduce range, such as cold weather, air conditioning, or specific driving conditions.

Additionally, the investigation will assess whether the automakers provided precise details about battery capacity degradation over time and any restrictions on battery warranties.

Under Italian consumer rights legislation, if found guilty, the companies could face fines ranging from 5,000 euros ($5,230) to 10 million euros.

Stellantis said it was fully cooperating with the investigation and had provided all requested information.

"Stellantis... is convinced that it has provided adequate, precise, and exhaustive answers to the questions posed by the officials," the company said, emphasizing its commitment to customer satisfaction.

BYD and Volkswagen declined to comment, while Tesla has yet to respond.

As part of the probe, Italy's financial crimes police, Guardia di Finanza, conducted inspections at the Italian headquarters of all four companies this week. This is a standard procedure in such investigations.

The Italian regulator's action reflects growing scrutiny over electric vehicle marketing and consumer protection in Europe, where authorities are increasingly holding automakers accountable for transparency in advertising EV capabilities.