Tesla has recalled almost all the cars it has sold in mainland China over the past four years due to a software issue that could fail to detect when the trunk is unlocked.
With that, it's the largest recall of the automaker in the region so far, accounting for 1.68 million vehicles. More specifically, the affected models are those manufactured between October 17, 2020, and July 17, 2024, according to AP News.
Addressing the recall is crucial because an unlatched bonnet could obstruct the view of the driver, China's State Administration for Market Regulation said. It would also reduce the risk of accidents.
Resolving the Issue with Software Updates
Tesla plans to address the issue with an over-the-air software update. The recall covers Chinese-made Model 3 and Model Y vehicles, as well as Model S and Model X vehicles imported from the US.
Independent analyst Gao Shen noted that the recall is not expected to significantly impact Tesla's sales and operations.
Earlier this year, the EV maker recalled 1.6 million vehicles in China to address issues with its Autopilot assisted driver system, aimed at reducing the risk of crashes.
Despite these recalls, Tesla's deliveries in mainland China grew by 37 percent last year, reaching 603,664 units, making China Tesla's second-largest market after the US, where sales increased by 25 percent to 654,888 vehicles in 2023.
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Tesla's Market Dominance in China
Since the Gigafactory 3 in Shanghai began delivering vehicles in January 2020, Tesla has been a dominant player in China's premium electric vehicle (EV) market. This factory, Tesla's largest globally, produces the Model 3 and Model Y cars, which are also exported to markets like Japan.
However, Tesla has faced multiple challenges regarding the quality and safety of its cars in China.
The company has had several disputes with mainland regulators and customers since 2021. Despite these issues, Tesla improved its relationship with China especially when Elon Musk visited Beijing in April. Chinese data security regulators warmly welcomed Tesla, making it the first foreign EV maker to receive approval.
Testing Full Self-Driving in China
Tesla plans to test its Full Self-Driving autonomous driving software in China by the end of 2024. With that, the company knows that it has to step up its EV game or else, other automakers will edge it in the market.
Besides Tesla, other automakers which issued recalls recently include Hyundai which recalled nearly 50,000 of the 2024 Santa Fe and Santa Fe HEV vehicles over unintended airbag deactivation. Nissan also recalled 1,188 of 2023 Ariya vehicles over loss of drive power, according to USA Today.
Elsewhere, a new Tesla Cybertruck equipped with a dry-cathode battery underwent testing. The automaker hopes that it will improve the pickup truck's range and performance while also reducing production costs.
