Tesla Recalls 2.2 Million US Vehicles to Fix Software Issues That Cause Warning Lights too Small

Tesla is recalling almost all of the cars it has sold in the United States due to the issue of small warning lights on the instrument panel. This recall, affecting approximately 2.2 million vehicles, was announced by the National Highway Traffic Safety Administration on Friday.

It indicates an increased level of investigation towards the electric vehicle manufacturer. Additionally, the agency has raised its investigation into Tesla steering problems, conducted in 2023, to an engineering analysis, bringing them one step closer to issuing a recall.

Tesla is facing a significant setback with its recall affecting around 2.19 million vehicles sold from 2012 to 2024. This adds to a string of challenges the automaker has experienced. To address the issue, Tesla has already begun releasing a software update, with affected vehicle owners being notified through letters starting from March 30.

The problem was discovered by the NHTSA during a routine safety compliance audit on January 8. Although Tesla has identified three warranty claims possibly associated with the problem, no crashes or injuries have been reported. Prior to Friday's opening bell, Tesla's shares were down by 1.3% in trading.

According to documents released on Friday, the agency plans to address the warning light issue through an online software update. The recall will apply to various Tesla models, including the -

Model S (2012-2023),

Model X (2016-2023),

Model 3 (2017-2023),

Model Y (2019-2024), and

Cybertruck (2024).

The agency claims that the font size of the brake, park, and antilock brake warning lights is smaller than what federal safety standards mandate. This could potentially hinder the legibility of crucial safety information, thereby augmenting the risk of accidents.

In December, Tesla was compelled by NHTSA to issue a recall for over 2 million vehicles in order to update software and address a faulty system designed to ensure driver attentiveness when utilizing Autopilot.

According to reports, the software update will enhance the frequency and intensity of warnings and alerts for drivers.

This recall was initiated following a comprehensive two-year investigation conducted by the NHTSA into multiple accidents that occurred while the Autopilot system, which provides partially automated driving, was activated. Tragically, some of these incidents caused in fatalities.

Tesla is facing difficulties not only in the US but also in China, where the company recently conducted its largest recall. The recall was prompted by problems related to driver-assistance features, similar to the challenges Tesla has faced elsewhere. This comes at a time when competition in the Chinese auto market is fierce, with local rival BYD being a strong competitor.

The scale of the recalls, affecting a significant number of vehicles, highlights the significant impact on Tesla's operations and reputation, especially considering that the company delivered around 1.8 million vehicles worldwide in 2023.