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Tesla to 'recall' nearly 300,000 China-made Model 3 and Model Y vehicles - CNBC

Visitors looking at a China-made Tesla Model Y electric vehicle at the Auto Shanghai 2021 show in Shanghai, China, on April 27, 2021.
Qilai Shen | Bloomberg | Getty Images

Chinese regulators said on Saturday Tesla would 'recall' nearly 300,000 China-made and imported Model 3 and Model Y cars for an online software update related to assisted driving, with owners not required to return their vehicles.

The State Administration for Market Regulation said on its website that the move is linked to an assisted driving function in the electric cars, which can currently be activated by drivers accidentally, causing sudden acceleration.

The remote online software 'recall' — a first for Tesla cars built in China — covers 249,855 China-made Model 3 and Model Y cars, and 35,665 imported Model 3 sedans.

Tesla, now making Model 3 sedans and Model Y sport-utility vehicles in Shanghai, sold 33,463 China-made electric cars in May, according to industry data.

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