Tesla issued a third and fourth recall of 11,688 Cybertrucks due to malfunctioning windscreen wipers and loose trim.
TakeAway Points:
- A Tesla recall for Cybertruck’s malfunctioning wipers and loose trim affects 11,688 cars between November 2023 and June 2024.
- Even with a 125,000-unit annual manufacturing capacity, Cybertruck has experienced numerous recalls and a sluggish ramp-up since limited deliveries started.
- In 2024, Tesla’s stock fell 25% due to an ageing lineup, heightened competition in China, and brand problems stemming from Musk’s actions.
Cybertruck Announces Recalls
Tesla has issued two new recalls for its Cybertruck pickups in the U.S., marking the third and fourth recalls for the vehicle since its limited deliveries began in November 2023. The latest recalls involve physical repairs that typically require booking an appointment with Tesla service centers. One recall addresses issues with trim pieces that can loosen and fall off the trunk, while the other focuses on faulty motor controllers in the front windshield wipers.
A recall report dated June 19, posted on the National Highway Traffic Safety Administration (NHTSA) website, states that if a trim piece “separates from the vehicle while in drive, it could create a road hazard for following motorists and increase their risk of injury or a collision.” Tesla plans to “replace or rework” the trim piece to ensure “sufficient adhesion,” according to the report.
The second safety recall report on the NHTSA site indicates that some vehicles may have a front windshield wiper motor controller that stops functioning due to electrical overstress to the gate driver component. The report notes that a “non-functioning windshield wiper may reduce visibility in certain operating conditions, which may increase the risk of a collision.” Tesla plans to replace the motor controller in the Cybertruck windshield wipers for affected customers.
Challenges in Production and Delivery
The Cybertruck, Tesla’s first entry into the U.S. pickup market, has faced a slow start. The recall disclosures for the windshield wiper issue indicate a “vehicle population” of 11,688 Cybertrucks from Nov. 13, 2023, to Jun. 6, 2024. This number suggests an initially slow production ramp-up for the Cybertruck, which competes with the Ford F-150 Lightning and Rivian R1T.
In its first-quarter shareholder update, Tesla stated that Cybertruck production capacity exceeded 125,000 units per year. At Tesla’s annual shareholder meeting earlier this month, CEO Elon Musk announced that the company had achieved a record of 1,300 Cybertruck shipments in a single week. Despite these milestones, the vehicle has encountered several issues, including an earlier recall to repair an accelerator pedal problem that could cause “unintended acceleration.”
Company Conflicts
Beyond the Cybertruck-specific issues, Tesla has faced a challenging first half of 2024. The company’s stock price has declined by 25% this year, and sales have been impacted by an aging vehicle lineup, increased competition in China, and brand deterioration. A recent survey attributed some of the brand’s struggles to Musk’s “antics” and “political rants.” Additionally, Tesla is undergoing a broad restructuring that includes cutting headcount by at least 14%.
Tesla is expected to report its second-quarter vehicle production and delivery numbers in early July. The company’s ability to address these challenges and improve its market position will be closely watched by investors and industry analysts.
