Tesla recalls 10,500 Powerwall 2 battery systems due to fire risk

Investing.com -- Tesla is recalling approximately 10,500 units of its Powerwall 2 battery power systems in the United States due to potential fire and burn hazards, the company announced Thursday.

The recall follows 22 reports of the systems overheating. The U.S. Consumer Product Safety Commission stated that the affected systems "may fail and overheat," which poses a risk of serious injury or death. No injuries have been reported so far, though the defect has caused property damage in some cases.

The Powerwall 2 is a residential energy-storage unit designed to work with solar-panel systems. It stores electricity for self-consumption, helps users shift their energy usage to lower-cost periods, and provides backup power during grid outages.

According to the recall notice, the problem stems from certain lithium-ion battery cells that may overheat under specific conditions, potentially causing smoke or ignition.

Tesla is taking precautionary measures by remotely limiting the charge on affected units to minimize risk while arranging free replacements for customers.

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