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Tesla in recall to fix parking brake issue

The company, founded by Elon Musk, has confirmed it will send out an official notice to all customers affected by the issue. Tesla confirmed there were no accidents or injuries connected with the recall.

Tesla issued a global recall on 53,000 Model S and Model X cars to address a parking brake problem, which could prevent the brake from releasing, meaning the car can't drive away. Tesla said that a faulty gear within the electronic handbrake appeared to be the cause.

Although less than 5 percent were affected, Tesla wants to be sure of no risk to customers. The global recall involves cars manufactured between February and October 2016.

The company voluntarily recalled 3,000 of its Model S cars in November to resolve seatbelt connectivity problems. Tesla manufactured 83,922 cars throughout the last calendar year.

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No accidents reported

"Specifically, we have determined that the electric parking brakes installed on Model S and Model X vehicles built between February and October 2016 may contain a small gear that could have been manufactured improperly by our third-party supplier," the company said in a statement.

No accidents or injuries had occurred as a result of the defect parts, Tesla confirmed.

At the close of trading on Thursday, the company's share price fell 1.1 percent with a market capitalization of $50.1 billion.

Last month, Tesla overtook General Motors as America's most valuable car maker after a surge in the share price which took the company's market capitalization to $51.43 billion - $1 billion clear of GM.

rd/hg (AFP, Reuters)

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