Tesla makes largest ever Cybertruck recall

Tesla is recalling thousands of Cybertruck electric pickups in the United States due to the risk of decorative parts detaching. This marks the eighth recall for the model to date, and the largest in scale so far, raising concerns about quality control.

The recall affects over 46,000 vehicles manufactured since November 2023. Analysts point out that this figure is almost equivalent to the total number of Cybertrucks produced. Simultaneously, Tesla is facing declining sales, which is linked to the strong backlash against the company and its CEO, Elon Musk, impacting consumer confidence.

Florida Attorney General Pam Bondi stated on Thursday that a lawsuit will be filed against three unidentified individuals, accusing them of arson against Tesla vehicles and charging stations, and charging them with "domestic terrorism." Tesla has not separately released Cybertruck sales figures, but automotive technology company Cox Automotive estimates that approximately 39,000 units were sold in the United States last year, indicating strong initial demand.

Previously, the Cybertruck had been recalled due to wiper malfunctions, accelerator pedal entrapment, potential loss of wheel drive, and other issues. According to documents submitted to the National Highway Traffic Safety Administration (NHTSA), Tesla began investigating the latest issue in January, involving a component called the "cant rail." "The cant rail is a stainless steel exterior trim panel that may delaminate and detach from the vehicle," the notice stated. "A detached panel may become a road hazard, increasing the risk of a crash," posing safety concerns for other drivers.

Tesla told NHTSA that it has received approximately 150 complaints from drivers regarding this issue, but is not aware of any accidents caused by the problem. The company estimates that the issue affects approximately 1% of the recalled vehicles. The problem is covered under the new owner's warranty, and the company will replace the part free of charge. Since January of this year, Tesla's stock price has fallen by nearly 40%, erasing the value growth gained after the 2024 U.S. election, reflecting investor anxiety.

This decline is significantly higher than the overall decline in the U.S. stock market during the same period. Analyst Dan Ives, who has been a strong supporter of Tesla, said on Thursday that the company is facing a "tornado crisis moment" as Musk's role in the political arena is damaging the brand. The political backlash is exacerbating the challenges the company already faces, including increasing competition and an aging product lineup. The Cybertruck was supposed to help reignite interest in the brand and help it break into the lucrative U.S. pickup truck market. The model went on sale in late 2023, with a starting price of over $72,000, but these recalls may hinder its success.