Tesla has issued a recall of nearly 380,000 vehicles in the United States following concerns over a power steering assist failure that could potentially increase steering effort, particularly at low speeds.
The National Highway Traffic Safety Administration (NHTSA) identified the issue, which reduces steering control and increases the likelihood of a crash. Affected models include some 2023 Model 3 sedans and Model Y crossovers equipped with older software.
Additionally, the recall follows reports from Tesla owners who experienced steering failures, with some unable to turn the wheel and others reporting greater steering effort. In fact, NHTSA revealed that over 50 vehicles had to be towed due to the issue. The agency’s probe into the failures has lasted over a year and stems from steering issues that some Tesla owners have reported since 2016.
Tesla’s filing with NHTSA explains that the affected vehicles could suffer from an overvoltage breakdown that can stress motor drive components on the printed circuit board. While this failure does not affect steering while the vehicle is moving, it does cause a loss of steering assist when the vehicle comes to a stop, making it harder for the driver to steer. In response, Tesla has issued an over-the-air software update that addresses the issue and reduces the risk of steering failure.
The EV maker has confirmed that, as of January 10, it has identified 3,012 warranty claims that may be related to this issue. However, the company has stated that it is unaware of any crashes or fatalities connected to the power steering failure. This recall comes on the heels of a January recall of approximately 239,000 vehicles due to issues with malfunctioning rear-view cameras.
Despite the recall, Tesla shares saw a slight decline in premarket trading following the news. The automaker’s stock has fallen by 10% in 2025, despite an otherwise strong performance in the previous year.
