Tesla Shares Stumble Over Home Battery Safety Concerns

Tesla faces renewed challenges as safety issues with its residential energy storage systems trigger a regulatory response and market unease. The electric vehicle maker’s stock declined significantly during Friday’s trading following news of a mandatory recall affecting thousands of Powerwall 2 home battery units over fire risk concerns.

The U.S. Consumer Product Safety Commission (CPSC) has mandated Tesla to recall approximately 10,500 Powerwall 2 home battery systems. This regulatory intervention comes after 22 separate reports of units overheating, including five incidents that resulted in actual fires and minor property damage.

Tesla responded immediately to the safety concerns, implementing remote software updates that reduce the maximum charge capacity of affected systems. Read more...