Tesla IncNHTSA closed investigation into unexpected deceleration, removing regulatory risk

The U.S. National Highway Traffic Safety Administration has closed its investigation into reports of unexpected deceleration in about 695,000 Tesla Model 3 and Model Y vehicles, concluding the issue posed a low demonstrated hazard to motorists. The agency said software updates introduced by Tesla in early 2022 were followed by a sustained decline in reported incidents, with cases falling from roughly 300 when the inquiry began to 45 in 2024, 19 in 2025, and three so far in 2026. NHTSA determined the reported events did not alter vehicles' lane positioning or materially reduce following distance in a way that would likely result in a crash. The closure follows another recent regulatory development for Tesla, as NHTSA also ended an expanded investigation last week involving an estimated 376,241 Model 3 and Model Y vehicles over reports of steering control loss.
Tesla IncNHTSA closed investigation into unexpected deceleration, removing regulatory risk