NHTSA Probes Tesla Steering Issues
The National Highway Traffic Safety Administration (NHTSA) has set its sights on Tesla (TSLA) as it initiates a detailed investigation into certain Tesla vehicles following multiple complaints about potential steering control and power steering problems. NHTSA Probes Tesla Steering: The investigation centers on reports from 12 Tesla Model 3 and Model Y SUV owners who have claimed to experience “loss of steering control,” along with warning messages indicating that “power steering assist is reduced or disabled.” The implications of this investigation have the potential to impact an estimated 280,000 Model 3 and Model Y sedans from the model year 2023.
NHTSA Probes Tesla Steering: Previous Steering Concerns and Recall:
This isn’t the first time Tesla has faced issues related to steering. In a prior investigation in March, Tesla had to conduct a safety recall due to reports of the steering wheel in Model Y SUVs detaching entirely from the steering column. The fix involved fastening a nut to the steering wheel to ensure proper stability. These past steering concerns have raised further scrutiny over the recent complaints and the potential scope of the current investigation.
Magnitude of the Issue:
Several motorists who have experienced the steering-related problems have expressed the severity of the situations they encountered. One Tesla owner from Washington state disclosed that the electronic power steering unexpectedly stopped working while driving their Model Y. Fortunately, no accidents occurred as there were no vehicles behind them, but the owner had to exert significant manual effort to steer the vehicle to the side. Another owner from Hawaii shared that shortly after purchasing their Tesla, the steering wheel would lock up randomly, which happened six times on different occasions before they could take the car to the Tesla service department. The vehicle is currently at the service center, awaiting a new steering rack/motor, making the magnitude of the issue evident.
Tesla’s Response and Potential Recall
As of now, Tesla may not be able to resolve the steering issues through a simple software update. If a mechanical or hardware defect is determined to be the root cause of the problem, Tesla might be required to conduct an expensive recall campaign, involving parts replacements and thorough inspection of the affected vehicles. Such a recall could have significant financial implications for Tesla, and timely communication and remediation measures will be crucial for the company to maintain consumer trust and safety standards.
Stock Market Impact
As the investigation unfolds, investors are closely monitoring the situation, with Tesla stock currently trading at 261.82 USD, down 2.10% today. The investigation’s outcome and any potential recall announcements can have a notable impact on Tesla’s stock performance in the near term. Market analysts and experts are keeping a close eye on the developments surrounding the NHTSA investigation, as it could influence investor sentiment and the broader automotive sector.
Regulatory Scrutiny on Autopilot Software:
Additionally, NHTSA is concurrently investigating Tesla over claims of unintended acceleration and instances of “phantom braking” while using its Autopilot semi-autonomous driving feature. These investigations are separate from the steering issue but collectively add to the growing scrutiny of Tesla’s vehicle safety features. Regulators are closely examining Tesla’s advanced driver-assistance systems, and any findings could shape future regulations and policies on autonomous driving technologies.
With a significant number of Model 3 and Model Y owners expressing concerns about steering control and power steering, the NHTSA’s investigation represents a critical milestone for both Tesla and the broader automotive industry. The findings and subsequent actions taken by Tesla in response to the investigation will be closely monitored by regulators, investors, and consumers alike. Ensuring the safety and reliability of Tesla vehicles remains a top priority, and any potential recalls or corrective actions will have implications not only for Tesla but for the entire electric vehicle market.
