A Tesla car dealership in Austin, Texas, May 31, 2023.
Brandon Bell | Getty Images
The National Highway Traffic Safety Administration (NHTSA) has initiated a new investigation into Tesla over issues related to steering control and power steering loss in the 2023 Model 3 sedan and Model Y crossover utility vehicles.
In a notice posted on their website, the federal vehicle safety regulator reported receiving twelve complaints from Tesla drivers who encountered steering problems, resulting in one reported crash. The NHTSA considers this investigation a “preliminary evaluation” and it could potentially impact around 280,000 vehicles in the United States.
During the first quarter of 2023, the Model Y overtook popular models like the Toyota Corolla to become the world’s best-selling car. On the other hand, the Model 3 serves as Tesla’s entry-level offering, providing an affordable option for customers seeking an electric vehicle.
In 2021, Tesla CEO Elon Musk informed investors that the company had the capability to reprogram its software to adapt to semiconductor shortages by switching between different types of chips as necessary. Approximately a year later, Tesla issued a voluntary recall for certain Model S and Model X vehicles due to power steering problems caused by a defective software update. The issue was eventually resolved through another software update.
Typically, when the NHTSA initiates an investigation, it prompts the automaker to examine potential manufacturing or design defects and potentially conduct a voluntary recall. The NHTSA encourages drivers to report safety concerns by phone or online, leveraging this information alongside other data to determine the need for investigations.
As of now, Tesla has not responded to requests for comment. On Tuesday morning, shares of the electric vehicle manufacturer were trading approximately 1.7% lower.
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