Tesla Recalls More Than 1.6 Million Vehicles in China - Tools for Investors | News
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Tesla Recalls More Than 1.6 Million Vehicles in China


KEY TAKEAWAYS

  • Regulators in China said Tesla would recall 1.6 million vehicles to fix issues with its Autopilot driver-assistance system.
  • Remote software updates are expected to address the issues.
  • The recall in China comes after a similar recall in the U.S. last month.

Electric vehicle maker Tesla (TSLA) is recalling 1.62 million vehicles in China, its second-largest market, over issues with its Autopilot driver-assistance system, according to China’s State Administration for Market Regulations.

Much like a similar recall in the U.S. last month, the issues are expected to be addressed through over-the-air software updates, which will include adding more alerts to prevent drivers from relying too heavily on the features.

Last month, Tesla recalled almost all of its vehicles in use in the U.S. after the National Highway Traffic Safety Administration highlighted concerns over its Autopilot features. The recall affected over 2 million vehicles.

Tesla models impacted by the over-the-air software update will include Model S, Model X, Model 3, and Model Y vehicles made between 2014 and 2023, to decrease collision risks and prevent misuse of Autopilot functions.

Additionally, Tesla will upgrade the software of Model S and Model X vehicles to address concerns about doors potentially unlocking in crashes. Tesla made similar upgrades in the U.S. last month after it had to recall more than 120,000 units over the same issue.

Tesla shares were up 0.5% at $239.25 per share as of about 10:30 a.m. ET Friday, and have more than doubled in value over the past year.



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