Consumer Reports Removes Tesla S ‘Recommend’ Rating Over Growing Reliability Concerns

It appears that Tesla is beginning to lose its lustre among an increasing number of consumers, as its Model S sedan is now no longer recommended by Consumer Reports, the nonprofit consumer organization.

Consumer Reports has recently dropped Tesla’s rating in its annual Auto Reliability Survey due to a growing list of problems reported by consumers. CNBC has noted that the Model S is no longer being recommended by Consumer Reports and the Model Y has declined in reliability because of repeated issues with the cars’ air suspension and main computer and touchscreen controls, respectively.

According to Consumer Reports senior director of auto testing Jake Fisher, these problems have persisted throughout the lifecycle of the models, despite Tesla consistently updating its cars. Indeed, back in 2015 consumers ranked the Model S as the top-rated vehicle ever, but now it appears that the Model 3 is the only Tesla vehicle being recommended by Consumer Reports.

Overall, Consumer Reports ranked Tesla second-last out of more than two dozen cars in the reliability study. The latest ranking is two points lower compared to last year, and is largely due to the Model Y and Model S that went on sale earlier this year. Both models have been ranked as “well below average reliability,” with Model Y suffering from exterior quality issues with paint and body hardware, and the Model S plagued with suspension problems – which ironically is the same issue behind the model’s recall in China that Tesla claims was wrongfully made.

The reliability rating is an important measure in the overall score of a vehicle, and determines whether or not it is ultimately recommended for consumers. However, many of the problems that Consumer Reports has identified have been plaguing Tesla for some time.

However, it appears that Elon Musk will not be able to sweep the growing concerns under the rug for very much longer. On Monday, Tesla notified its Model S and Model X customers that it will begin refunding them for out-of-pocket costs regarding repairs to the vehicle’s main computers. It turns out that the problems experienced by the customers were blank touchscreens and system glitches that stemmed from memory-device failures in the computer that stores the vehicle’s data.

Information for this briefing was found via Consumer Reports, CNBC, and Tesla. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.