Tesla blames Model S recall in March on Bosch’s rusty bolts
In its 2018 first-quarter report, electric vehicle manufacturer Tesla Motors informed that the recall of Model S vehicles in March was caused by rusty bolts supplied by German auto parts supplier Bosch. Tesla Motors expects Bosch to foot the bill for the recall.
The statement in which Tesla has put the blame of the Model S recall on Bosch appeared as a virtual footnote in Tesla’s quarterly report, along with figures which disclosed the company’s higher revenues and lower-than-anticipated losses.
According to Tesla, the Model S recall in March was linked to power steering issues which were caused by the rusty screws supplied by Bosch. The recall, affecting nearly 125,000 Model S units, was the biggest-ever vehicle recall by the automaker.
Tesla’s statement in its quarterly report read as follows: “The recent voluntary recall of 125,000 Model S vehicles related to steering bolt corrosion was not material to our warranty reserves and is expected to be covered by the indemnification obligations of the supplier.”
Meanwhile, Stuttgart-based Bosch has not said anything in reaction to Tesla’s statement thus far. A Bosch spokesman refused to offer any comments on Tesla’s statements, and also refrained from commenting on how much money Bosch would lose if it has to pay for the Models S recall.
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