Tesla recalls nearly 700,000 vehicles in US over tire pressure monitoring system issue

Published On Dec 20, 2024, 5:42 AM

Tesla is recalling nearly 700,000 vehicles in the U.S. due to a malfunctioning tire pressure monitoring system (TPMS) that may fail to warn drivers when tire pressure is low. This issue could potentially increase the risk of crashes. However, Tesla has indicated that the problem can be resolved via an over-the-air software update. The recall affects certain Model 3, Model Y, and Cybertruck vehicles. Despite having the highest recall numbers for the year, most issues are typically addressed through software updates, minimizing impact on vehicle owners.

Stock Forecasts

The recall may cause temporary fluctuations in Tesla's stock price as investors often react negatively to news of vehicle recalls. However, considering that most issues can be resolved through software updates and do not necessitate physical repairs, the long-term impact on Tesla's business model should remain minimal. Tesla's strong market position and innovative approach to fixes will likely support its stock.

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