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NHTSA Ends Power Steering Probe Into 376,000 Tesla Vehicles
Suhaib
Executive summary
The National Highway Traffic Safety Administration closed its engineering analysis into power steering loss affecting about 376,000 Tesla Model 3 and Model Y vehicles from 2023. Tesla addressed the defect with a remote software update after owner complaints of unexpectedly heavy steering prompted the federal probe. The closure follows Tesla's recall in early 2025 covering roughly the same vehicle population.
What happened
NHTSA closed its investigation into power steering failures affecting approximately 376,241 Tesla Model 3 and Model Y vehicles from the 2023 model year. The agency had opened a preliminary evaluation in July 2023 after receiving owner complaints about sudden loss of steering assist, making steering difficult especially at low speeds. By early 2024, regulators escalated the matter to a full engineering analysis. Tesla subsequently issued a recall in early 2025 covering roughly 376,000 U.S. vehicles and deployed an over-the-air software fix targeting voltage irregularities and mechanical stress on printed circuit board components that were degrading steering response. Following the recall and software update, NHTSA's Office of Defects Investigation concluded its review had been resolved.
Why it matters
The closure removes a significant regulatory overhang for Tesla. Power steering loss at low speeds elevated crash risk and drew sustained federal scrutiny. The company's ability to resolve the defect through remote software deployment-without requiring physical dealer visits-demonstrates the operational advantage of its over-the-air update capability. The resolution also comes amid broader scrutiny of Tesla's vehicle safety record. The company has recalled more than 662,000 vehicles in the first three quarters of 2025, including nearly every Cybertruck, and NHTSA records show 46 special crash investigations over the past ten years have involved Teslas operating with self-driving or driver-assistance systems, with fatalities recorded in more than a dozen cases.
Bigger picture
Tesla continues to face recurring federal safety reviews across multiple vehicle systems and driver-assistance technologies. Earlier this year, the company recalled more than 218,000 vehicles over a rearview camera software defect, also fixed remotely. A separate NHTSA investigation involving roughly 2.6 million Tesla vehicles and centered on a remote-movement feature was wrapped up last month after regulators determined incidents occurred only at low speeds. The agency is also scrutinizing Tesla's Autopilot and Full Self-Driving systems through special crash investigations, reflecting ongoing regulatory attention to advanced driver-assistance technology across the industry. The power steering probe closure represents one resolved issue within a broader pattern of federal oversight.
What to watch
Monitor whether NHTSA's ongoing special crash investigations into Tesla's driver-assistance systems lead to additional recalls or enforcement actions. Watch for any further owner complaints related to steering or other safety-critical systems, which could prompt new federal probes. Track Tesla's recall activity and over-the-air update deployment as indicators of how the company manages quality and regulatory compliance. Broader industry developments around NHTSA's approach to advanced driver-assistance technology could signal future regulatory expectations for Tesla and its peers.
