Stock Markets July 2, 2026 03:41 AM

U.S. Safety Regulator Ends 2022 Review of 695,000 Tesla Cars Over Unexpected Braking

NHTSA cites falling incident counts and limited demonstrated hazard in closing preliminary probe into Model 3 and Model Y deceleration reports

By Leila Farooq
Share
Twitter Reddit Facebook LinkedIn
TSLA

The U.S. National Highway Traffic Safety Administration has closed its 2022 preliminary evaluation into reports of unexpected deceleration affecting an estimated 695,000 Tesla Model 3 and Model Y vehicles, saying the hazard to drivers was low and incidents have fallen sharply after software updates released in early 2022. The regulator noted the reported events did not change vehicle lateral position or create significant reductions in following distance that led to collisions.

U.S. Safety Regulator Ends 2022 Review of 695,000 Tesla Cars Over Unexpected Braking
TSLA
Summarize with
ChatGPT Perplexity Claude Grok Gemini

Key Points

  • NHTSA closed its 2022 preliminary evaluation into unexpected deceleration in an estimated 695,000 Tesla Model 3 and Model Y vehicles.
  • Tesla released software updates in early 2022; incident reports fell from about 300 at opening to 45 in 2024, 19 in 2025, and three since the start of 2026.
  • Regulator found reported events did not change lateral positioning or cause significant reductions in following distance that led to collisions; a separate probe into loss of steering control for about 376,241 vehicles was also closed last week.

The U.S. National Highway Traffic Safety Administration (NHTSA) announced it has closed a preliminary evaluation opened in 2022 into reports of unexpected deceleration affecting roughly 695,000 Tesla vehicles. The probe focused on Model 3 and Model Y vehicles and was ended after the regulator concluded that the issue posed a low demonstrated hazard and that occurrences have declined substantially.

NHTSA's summary of the case notes that Tesla issued software updates in early 2022 aimed at addressing reports of unexpected deceleration. When the investigation began there were about 300 incident reports; the regulator recorded a reduction to 45 reports in 2024, 19 in 2025, and only three reports since the start of 2026.

In closing the inquiry, NHTSA said the reported conditions did not cause the affected vehicles to change their lateral positioning within lanes. The agency also stated the events did not produce a meaningful reduction in distance between the subject vehicles and those following them that would lead to a collision.

The action follows a separate move by the agency last week, when it closed an expanded probe into an estimated 376,241 Model 3 and Model Y vehicles that had been under review for potential loss of steering control.


Context and procedural details

NHTSA characterized the decision to close the preliminary evaluation as based on both the drop in reported incidents after software updates and an assessment of the associated risk to drivers. The agency's observations regarding lateral positioning and following-distance impact were cited as part of its rationale.

While the agency noted only three reports since the start of 2026, the record of earlier reports and the existence of a related, recently closed probe into steering control remain part of the public regulatory record.


Takeaway

  • The preliminary evaluation into unexpected deceleration affecting approximately 695,000 Tesla Model 3 and Model Y vehicles has been closed by NHTSA.
  • Tesla implemented software updates in early 2022 intended to address the deceleration reports, and incident counts declined from about 300 at the outset to 45 in 2024, 19 in 2025, and three since the start of 2026.
  • NHTSA stated that the reported conditions did not alter lateral lane positioning or create significant loss of distance between subject and following vehicles that led to collisions. The agency also recently closed a separate probe covering an estimated 376,241 Model 3 and Model Y vehicles over loss of steering control.

Risks

  • Although incidents have fallen sharply, the record includes earlier reports and a small number of reports remain in 2026 - this continues to be a point of attention for vehicle safety oversight (impacted sectors: automotive manufacturing, vehicle safety regulators).
  • The presence of multiple related probes, including one recently closed for possible steering control loss, underscores ongoing regulatory scrutiny that could affect automakers and supplier risk perceptions (impacted sectors: automotive suppliers, investor sentiment in auto equities).

More from Stock Markets

Genel's Cash Offer Sends Capricorn Energy Shares Higher Jul 2, 2026 Aperam Stock Climbs After Company Signals Stronger Q2 Operating Trends Jul 2, 2026 SKF to Lead China JV with Leaderdrive for Humanoid Robot Transmission Components Jul 2, 2026 Chip sector selloff widens as lofty valuations and AI spending concerns weigh Jul 2, 2026 PPHE Hotel Group Shares Slide After Sale Process Ends Without a Deal Jul 2, 2026