Tesla's Model 3 under scrutiny over safety concerns

The US National Highway Traffic Safety Administration (NHTSA) sent Tesla CEO Elon Musk a cease-and-desist letter in October last year regarding the safety of the carmaker's Model 3 sedan.

After receiving documents from a nonprofit advocacy group, Bloomberg reported that in the letter the NHTSA Chief Counsel Jonathan Morrison said the agency had become aware of “misleading statements” made by the company about the vehicle’s safety rating.

The watchdog’s main concern was with Tesla’s claim in a blog post that same month that NHSTA tests showed the Model 3 has “the lowest probability of injury of all cars the safety agency has ever tested.”

It said it was “not the first time” Tesla had disregarded NHTSA guidelines “in a manner that may lead to consumer confusion and give Tesla an unfair market advantage.”

Al Prescott, Tesla’s deputy general counsel, wrote in a reply letter on 31 October: “Tesla has provided consumers with fair and objective information to compare the relative safety of vehicles having 5-star overall ratings.”