NHTSA Closes Its Four Year Tesla Phantom Braking Probe of 695,000 Cars

Costa Mesa, Californis - USA- Saturday March 29, 2025: Tesla Electric Car Dealership.
Costa Mesa, Californis - USA- Saturday March 29, 2025: Tesla Electric Car Dealership (image courtesy Deposit Photos)
Costa Mesa, Californis - USA- Saturday March 29, 2025: Tesla Electric Car Dealership.
Costa Mesa, Californis - USA- Saturday March 29, 2025: Tesla Electric Car Dealership (image courtesy Deposit Photos)

Federal safety regulators have closed one of the longest running Tesla investigations on the books. On July 2, the National Highway Traffic Safety Administration ended its preliminary evaluation into so-called phantom braking, the unnerving habit some Teslas developed of slamming on the brakes at highway speed for no visible reason. The probe covered about 695,000 Model 3 sedans and Model Y SUVs and ran for more than four years.

For owners who lived through the worst of it in 2021 and 2022, the closure is a quiet ending to a loud problem. Complaints described cars decelerating hard on interstates with nothing ahead of them, sometimes with traffic close behind. Drivers reported white-knuckle moments on cruise control, and the issue became one of the most discussed Tesla defects of the decade.

NHTSA’s reasoning for walking away comes down to two findings: the hazard proved lower than feared, and the complaints all but vanished. The agency counted 300 reports on file when investigators opened the case in February 2022. That number fell to 45 in 2024, then 19 in 2025, and just three in the first half of 2026.

What NHTSA Found After Four Years

The original inquiry centered on unexpected deceleration while drivers used Autopilot, Full Self-Driving, or Traffic Aware Cruise Control. Investigators examined whether the sudden braking events created a real crash risk, and their answer was no. According to the agency’s closing summary, reported by Reuters and The Wall Street Journal, the deceleration episodes neither pushed vehicles out of their lanes nor closed the gap with trailing traffic enough to pose a realistic collision threat.

The probe also turned up no crashes attributable to phantom braking. That finding matches the four year complaint trend. Tesla pushed software updates in early 2022 aimed at curbing the false braking events, and the steady collapse in reports afterward suggests those updates did most of the work.

A preliminary evaluation is the first formal step in NHTSA’s defect process. It can escalate to an engineering analysis and then to a recall demand, or it can close quietly, as this one did. Owners of 2021 and 2022 Model 3 and Model Y vehicles will receive nothing in the mail. There is no recall, no repair campaign, and no compensation attached to this outcome.

The Camera Only Gamble Behind the Braking Events

Investigators pointed to a specific engineering decision as a likely factor: Tesla’s move away from radar. Through 2021 and 2022 the company stripped radar sensors out of its cars and shifted to a camera-only perception system it calls Tesla Vision. Cameras alone must judge distance and closing speed from flat images, and shadows, overpasses, and oncoming glare gave the software plenty of chances to see obstacles that were never there.

The braking events clustered in exactly the period when radar-deleted cars hit the road in volume. Complaints to NHTSA surged through early 2022, which is what pushed the agency to open the case. Later software revisions taught the vision system to stop overreacting, and the complaint curve bent down year after year.

The episode stands as a case study in how modern car defects get fixed. No wrench touched a single vehicle. The flaw arrived through design philosophy, expressed itself through software, and faded away through over-the-air updates while regulators watched the numbers.

The timeline tells the story in three acts. Tesla announced the removal of radar from Model 3 and Model Y production in the spring of 2021, and complaint volume built through that autumn as radarless cars reached owners in numbers. NHTSA opened its preliminary evaluation in February 2022 covering the 2021 and 2022 model years, right at the peak of the reports. The software then improved release by release, and by 2024 the stream of complaints had thinned to a trickle.

What This Closure Does Not Mean

NHTSA was explicit on one point: closing the evaluation does not mean regulators have ruled out a safety defect. The agency retains authority to reopen the case if new evidence appears, and it said it could take further action if circumstances warrant. Drivers who experience unexpected braking today still have a live channel to report it.

The closure is also part of a wider clearing of the decks. In recent months NHTSA wrapped up an engineering analysis into power steering loss affecting about 376,241 Model 3 and Model Y vehicles from the 2023 model year, resolved after Tesla fixed the problem with a remote software update in an early 2025 recall. A separate investigation involving roughly 2.6 million Teslas and the remote Summon movement feature closed after regulators determined the connected incidents happened only at low speeds.

The Tesla Investigations Still Open

Anyone reading this as the end of federal scrutiny of Tesla should look at the open docket. The agency’s most serious active case is an engineering analysis, escalated in March 2026, covering roughly 3.2 million vehicles equipped with Full Self-Driving (Supervised). That probe examines crashes in reduced visibility conditions such as sun glare, fog, and airborne dust, and NHTSA has documented nine FSD crashes in those conditions, including one fatality.

A second open evaluation, launched in December 2025, looks at FSD-equipped Teslas running red lights and drifting into oncoming lanes. Regulators collected 58 consumer complaints and identified 80 separate instances of the behavior across submitted footage and reports. On top of those, the agency opened a special crash investigation into the Model 3 that left the road in Katy, Texas in June and struck a house, killing a woman inside her own home.

Agency records show 46 special crash investigations over the past ten years have involved Teslas operating with driver assistance or self-driving systems engaged. Fatalities were recorded in more than a dozen of them. The phantom braking file is closed; the broader question of how safe Tesla’s automation is on American roads remains very much open.

There is a money trail attached to the outcome too. Phantom braking reached the civil courts, with owners filing proposed class actions over the behavior back in 2022, and plaintiffs read regulatory closures closely. A federal finding of low hazard does not erase private claims, but it changes the negotiating temperature. For Tesla, the closure clears one regulatory cloud in a year when the company wants to expand its robotaxi operations and prove its automation record to skeptical regulators, insurers and juries.

What Tesla Owners Should Do Now

Keep your software current. The phantom braking story shows that the fix for a behavior problem in these cars arrives through updates, so a Tesla running old firmware is a Tesla with old bugs. Check the software menu on the center screen and install anything pending.

If your car brakes unexpectedly, report it. File a complaint at nhtsa.gov/report-a-safety-problem or call the Vehicle Safety Hotline at 1-888-327-4236 with your VIN, the date, the location, and what the car was doing at the time. Those three 2026 complaints prove the reporting channel still works, and complaint volume is exactly what reopens closed investigations.

Run your VIN through the recall lookup at nhtsa.gov/recalls twice a year. Tesla has issued multiple recalls fixed by software, and cars bought used can carry open items a previous owner ignored. The check takes under a minute and costs nothing, and it covers every open recall on your specific vehicle, Tesla or otherwise. Drivers shopping for a used Model 3 or Model Y from the affected years can buy with more confidence than they could in 2022, but the homework still applies.

Shopping used from the affected years? Add one step to the test drive. Take the car onto a highway, engage cruise control or Autopilot with a safe gap ahead, and pay attention near overpasses, tree shadows and low sun, the classic false-positive triggers from the complaint files. A 2021 or 2022 car on current software should track smoothly through all of them. Hard, unexplained deceleration on a test drive is a negotiating point at best and a walk-away signal at worst.


Sources:

Jarrod

Jarrod Partridge is the founder of Motoring Chronicle and an FIA accredited journalist with over 30 years of experience following motorsport and the global automotive industry. A member of the AIPS International Sports Press Association, Jarrod has covered Formula 1 races and automotive events at venues around the world, bringing first-hand insight to every race report, car review, and industry analysis he writes. His work spans the full breadth of motoring — from the latest EV launches and road car reviews to the cutting edge of motorsport competition.

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