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Tesla recalls over 2.03 million cars due to autonomous driving issues. Tesla's stock price has gone through a roller coaster ride

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On December 13th local time, Tesla's stock price experienced a roller coaster ride, falling more than 3% during the day and closing up 0.96%. On the news front, the website of the National Highway Traffic Safety Administration recently revealed that Tesla has announced the recall of over 2.03 million vehicles due to insufficient autonomous driving control systems to prevent accidental operation.
Tesla announces recall of over 2.03 million vehicles
Recently, the National Highway Traffic Safety Administration (NHTSA) website revealed that due to insufficient autonomous driving control systems to prevent misoperation, Tesla has announced a recall of 2031200 vehicles equipped with Autopilot, involving the 2012 to 2023 Model S, 2016 to 2023 Model X, 2017 to 2023 Model 3, and 2020 to 2023 Model Y. The vehicles recalled this time almost cover all vehicles sold by Tesla in the United States since the introduction of Autopilot at the end of 2015.
It is reported that the National Highway Traffic Safety Administration (NHTSA) conducted a two-year investigation on Tesla's auto drive system after a series of crashes occurred in Tesla using the auto drive system.
The agency stated that its investigation found that Tesla's Autopilot autonomous driving assistance system could not ensure driver concentration and could "potentially lead to foreseeable system misuse.". Tesla also said in the report submitted to the safety agency that the auto drive system "may not be enough to prevent the driver from misoperation".
According to documents released by the National Highway Traffic Safety Administration, Tesla will release software updates to address these issues and fix defective systems. The document states that the software update includes additional controls and alarms, "further helping drivers take responsibility for safe driving.".
Tesla officials told reporters that the recall to the Chinese market is not currently affected.
Tesla's stock price experiences a roller coaster ride
Why did Tesla's stock price rise again after a sharp drop yesterday?
Automotive industry insiders say that the recall involved a huge number of vehicles, with 2.0312 million vehicles almost 4.6 times Tesla's sales in the Chinese market in 2022, covering a wide range.
But the incident focused on the reasons for the recall. Industry insiders believe that this recall mainly involves upgrading the OTA system and more means of intervening in driver safety. At the same time, this recall is more aimed at making drivers take responsibility for safe driving.
It is worth noting that in May this year, the State Administration for Market Regulation of China requested Tesla to recall a total of 1.1046 million imported Model S, Model X, Model 3, and domestically produced Model 3 and Model Y vehicles produced between January 12, 2019 and April 24, 2023.
The reason for this recall is that the vehicles within the recall scope did not allow drivers to choose energy recovery braking strategies; At the same time, insufficient reminders may not be provided for drivers who deeply press the accelerator pedal for extended periods of time. The combination of the above factors may increase the probability of accidentally stepping on the accelerator pedal for a long time, which may increase the risk of collision and pose a safety hazard.
Some Tesla car owners told reporters that the May recall is more like an OTA upgrade, and OTA upgrades have become a common occurrence in smart cars. (Tan Rong)
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