Tesla recalls nearly all its U.S. vehicles for incorrect font size on warning lights while NHTSA probes power steering loss

Tesla Inc. is recalling 2.2 million vehicles, or nearly all of its electric vehicles in the U.S., due to incorrect font sizes on warning lights, which increases the risk of a crash, the National Highway Traffic Safety Administration said on Friday. NHTSA has also upgraded its probe into 334,569 Teslas over power steering loss to an engineering analysis - a required step before a potential recall.

Tesla supplied certain steering rack part numbers to investigators, suggesting the probe could lead to a physical recall, as opposed to an over-the-air software remedy. That would be significant because repairs would be costlier for the company.

The warning light recall is more than the 2.03 million vehicles Tesla recalled in the U.S. two months back, its biggest-ever such move at the time, to install new safeguards in its Autopilot advanced driver-assistance system.

Tesla has been under the NHTSA's scanner for its autonomous driving aid that is intended to enable cars to steer, accelerate and brake automatically within their lane.

The latest recall includes vehicles across Tesla's various models, including the Model S, Model X, 2017-2023 Model 3, Model Y, and 2024 Cybertruck vehicles, the NHTSA said.

"Warning lights with a smaller font size can make critical safety information on the instrument panel difficult to read, increasing the risk of a crash," the NHTSA said.

Tesla began releasing an over-the-air software update on Jan. 23, free of charge, to fix the issue, the regulator said.

The software update will increase the font size of the visual warning indicators for the brake, park and antilock brake system (ABS).

The Federal Motor Vehicle Safety Standard No. 135 requires warning indicators for vehicles equipped with hydraulic brakes to be at least 3.2 millimeters, or an eight of an inch, high.

The standard also requires contrasting colors for the written, visual warning and the background, with one of them being red.

Tesla's Cybertruck started receiving a software update to fix the issue for the units in production, the report added.

The recall is also the first for the new electric pickup truck model that Tesla started handing over to customers last November.

The Austin, Texas-based automaker's stores and service centers will be notified after Jan. 31 and owners will get notification letters through mail, the report said.

Meanwhile NHTSA's Office of Defects Investigation (ODI) opened a preliminary evaluation last July into loss of steering control in Tesla Model 3 and Y vehicles, after receiving 2,388 complaints.

The office said it was associating one crash to this investigation where a driver was unable to complete a right hand turn at an intersection and hit a vehicle.

"A portion of drivers described their steering begin to feel 'notchy' or 'clicky' either prior to or just after the incident," NTSHA said in a statement.

Bloomberg contributed to this report.