12:36 PM EDT, 09/17/2025 (MT Newswires) -- Tesla (TSLA) has come under scrutiny from the National Highway Traffic Safety Administration amid consumer complaints about its full self-driving, or FSD, software failing at rail crossings, NBC News reported Tuesday, citing the complaints and the agency.

NHTSA regulators told NBC that they are aware of the incidents and have raised the issue with Tesla.

"We are aware of the incidents and have been in communication with the manufacturer," NHTSA said, according to the report. "The agency continuously analyzes consumer complaints to determine whether a potential vehicle safety defect trend exists."

Drivers interviewed by NBC who used FSD reported various problems, including that their cars didn't detect flashing lights or lowering gate arms at railroad crossings. Some said their vehicles didn't slow down even when a train was directly ahead, according to the report.

Tesla CEO Elon Musk said on X that Tesla is preparing a major FSD software update, expected as soon as late September, the report added.

NHTSA and Tesla didn't immediately reply to MT Newswires' request for comments.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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