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Tesla and others begin record vehicle recall in China - Finance news and analysis from Global Banking & Finance Review
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Tesla and others begin record vehicle recall in China

Published by Global Banking & Finance Review

Posted on August 24, 2026

4 min read

· Last updated: August 24, 2026

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Tesla and Major Automakers Recall 4.3 Million Vehicles in China Over Door Safety

Overview of the Largest Automotive Recall in China

(Corrects reporting credit in Friday story; no additional changes to text)

By Qiaoyi Li and Ju-min Park

Background and Regulatory Actions

BEIJING, Aug 21 (Reuters) - Tesla and eight other automakers said on Friday they will recall a total of about 4.3 million vehicles in China over concerns that doors may be difficult to open in an emergency, marking the country's largest automotive recall.  

The recall remedies range from software updates to warning labels and improved markings around door handles.

Beijing has this year increased oversight of the EV industry and introduced tougher safety requirements, as automakers, locked in a fierce price war, roll out technologies in the world's largest vehicle market.

China has also said it will ban concealed door handles from 2027, making it the first country to phase out a design popularised by Tesla and widely adopted by domestic Chinese EV makers.

Automaker Responses

Tesla did not immediately reply to a request for comment, while Geely and Xpeng declined to comment. Xiaomi said it does not have additional information beyond the regulatory notice.

Leapmotor said it was committed to safety. It said the upgrade involved only a warning label and upgrading the power-window control software, but that it was "managing and filing it in accordance with the recall process out of a sense of responsibility to our users".

Details of the Recall

Most of the actions, classified as product recalls under Chinese regulations, target emergency mechanical door-release handles that regulators say may be hard to locate or operate in a crash — a defect that has drawn scrutiny after several cases of passengers trapped inside burning vehicles.

Chinese state media reported in October that the driver of a Xiaomi SU7 sedan died after a crash and fire because passersby could not open the doors to pull him out.

Recall Remedies and Implementation

Warning Labels and Software Fixes

WARNING LABELS AND SOFTWARE FIXES

The scale of the recall reflects both the size of China's auto fleet and regulators' increasingly aggressive scrutiny of safety defects as vehicles become more software-driven.

The automakers, including Tesla and Xiaomi, will install warning labels free of charge to identify the handles, while most will also deploy over-the-air, or remote, software updates.

Tesla's Recall Details

Tesla's recall is the largest, reflecting how many vehicles it has sold with this type of handle.

It concerns 2.98 million imported and China-made Model 3, Model Y, Model S and Model X vehicles to be recalled from September 25, the company told the State Administration for Market Regulation, according to the regulator's statement.

The U.S. automaker said mechanical emergency door-release handles may be difficult to identify following a severe collision and electrical system failure, potentially hindering occupants' escape or rescuers' access, according to the statement. 

Tesla's remedy includes warning labels and an update delivered remotely that automatically lowers vehicle windows after a collision.

Other Automakers and Recall Numbers

Apart from Tesla and Xiaomi, Leapmotor, Xpeng and Geely Holding, also announced their largest recalls on record, according to their filings to SAMR. 

Xiaomi will recall about 390,000 vehicles, Leapmotor about 371,000 and Xpeng about 264,000.

The other companies that filed with the regulator are undertaking much smaller recalls.    

Cost and Impact of the Recall

The cost of the actions may be limited, Sam Fiorani, vice president of research firm AutoForecast Solutions, said.

"Modern over-the-air updates reduce the costs and downtime associated with major recalls and even the physical work needed to be done will not be very costly compared to significant recalls of the past," he said.

Global Implications and Regulatory Scrutiny

International Concerns Over Door Handle Safety

The door handles — which open via a key fob, smartphone or touch-sensitive panel — have also drawn scrutiny from U.S. regulators.

Last month, the U.S. National Highway Traffic Safety Administration said it would consider new safety standards to address the risk of occupant ​entrapment in vehicles during electrical power failures.

NHTSA said late on Friday that automakers have not notified the agency of plans to file a similar recall for the U.S. market.

Reporting Credits

(Reporting by Qiaoyi Li and Ju-min Park; additional reporting by David Shepardson in Washington and Zhang Yan in Beijing; Writing by Miyoung Kim; Editing by Joe Bavier, Barbara Lewis and Alexander Smith)

Key Takeaways

  • Tesla will recall about 2.98 million Model 3, Y, S and X vehicles starting September 25, featuring warning labels and an OTA update to lower windows after crashes, addressing emergency door-release issues (cnevpost.com).
  • China’s regulators are cracking down on hidden, electronically operated door handles, with a nationwide ban coming in 2027 of concealed designs popularized by Tesla and widely used in domestic EVs (investing.com).
  • The recall spans more than 4 million vehicles from Tesla, Xiaomi, Leapmotor, Xpeng, Geely and others, reflecting intensified oversight and software-driven safety upgrades across China's EV sector (channelnewsasia.com).

References

Frequently Asked Questions

Why are Tesla and other automakers recalling vehicles in China?
The recall addresses concerns that emergency door handles may be difficult to locate or operate during emergencies, especially after collisions or electrical system failures.
How many vehicles are affected by the recall in China?
Approximately 4.3 million vehicles from nine automakers, including Tesla, Xiaomi, Leapmotor, Xpeng, and Geely, are affected by this recall.
What remedies are being offered to fix the door safety issue?
Manufacturers will provide software updates, warning labels, and improved markings around door handles, with many updates delivered over-the-air.
Is this the largest automotive recall in China's history?
Yes, this recall is considered the largest automotive recall China has seen, given the scale and the stricter regulatory environment.
Will similar recalls happen in the United States?
As of now, automakers have not notified the US National Highway Traffic Safety Administration (NHTSA) of plans to file a similar recall for the US market.

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