Federal regulators ask Tesla Inc. to recall about 158,000 vehicles over safety concerns, which would amount to one of the electric vehicle manufacturer’s biggest safety actions.
The National Highway Traffic Safety Administration, in a January 13 letter, asked Tesla to recall some Model S luxury sedans and Model X SUVs. The NHTSA called for the recall because the cars’ touchscreens could malfunction after a few years of use, affecting safety features such as defroster and reversing cameras.
Some car safety recalls come across millions of vehicles. Although modest by historical figures, the move would mean a relatively large recall for Tesla, which has far fewer cars on the road than some of its rivals. The Silicon Valley automaker delivered nearly 500,000 vehicles worldwide last year, of which about 205,600 in the US, according to market research firm Motor Intelligence. Tesla does not divide its sales by region.
Tesla does not have to recall the vehicles, although the NHTSA said in the letter that if the automaker does not take the action, it must provide an explanation for its decision. The agency can then escalate the matter to a public hearing and ultimately try to enforce a recall through the courts.
Sam Abuelsamid, an analyst at Guidehouse Insights, said the recall request was significant and could cost $ 300 million to $ 500 million to address.