It's not looking good for Tesla: another Tesla S has caught fire, and the Feds are getting involved this time. It's the third fire that the low production model S has yielded, and it's concerning consumers, the Feds, and stockholeders.
In response to the new Tesla fire in Smyrna, Tenn., investors might be taking a new look at the California maker of electric luxury cars. It's only model is the nearly $75,000 Model S sedan, but a crossover SUV is planned late next year, then a $35,000 smaller car after that. The fire could have a far reaching impact.
It doesn't help Tesla's investor relations that the new fire has brought the ire of the National Highway Traffic Safety Administration, which issued this statement:
"NHTSA will contact the local authorities who are looking into the incident to determine if there are vehicle safety implications that merit agency action."
The third crash fire, resulted from an accident in which a Model S driver ran into road debris, reportedly a trailer hitch or some other debris, according an Associated Press report.
Previous reported crash fires came in Seattle, after the driver hit road debris that pierced the battery shield, and in Mexico, where the car hit a wall in a traffic circle. None of the drivers was hurt.