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Tesla Trades Weaker on Recall of Certain Model 3 and S Cars

Published 30/12/2021, 12:52
© Reuters
TSLA
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By Dhirendra Tripathi

Investing.com – Tesla stock (NASDAQ:TSLA) traded 0.4% lower in Thursday’s premarket following transport safety body NHTSA’s disclosure that the EV-maker is recalling 475,318 vehicles over two separate safety-related issues.

A December 21 notice posted on National Highway Traffic Safety Administration’s website said Tesla is recalling all 2017-2020 Model 3 vehicles. According to the release, the vehicles’ rearview camera cable harness may be damaged by the opening and closing of the trunk lid, preventing the rearview camera image from displaying.

Tesla will inspect and install a guide protector and new cable harness as necessary, free of charge.

The second matter affects the company’s Model S vehicles made between 2014 and 2021. Here, the vehicles’ front trunk latch assembly may be misaligned, preventing the secondary hood latch from engaging. As such, these vehicles fail to comply with the requirements of federal motor vehicle safety standards, NHTA said.

In both the cases, Tesla will do the necessary repairs free of charge. According to the safety body, Tesla is likely to mail the vehicle owners by February 18 to inform them about the proposed remedy.

 

 

 

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