By Chester Dawson
DETROIT -- Electric car maker Tesla Inc. tumbled in Consumer
Reports' latest reliability rankings, along with several other
domestic brands, as the U.S. auto makers rush to roll out new
technologies that have made their vehicles more glitch-prone than
rivals.
Tesla slid six spots, landing it third from the bottom of 29
brands this year, in the magazine's closely watched new-car
reliability survey.
The company's newest, plug-in vehicle, the Model 3, earned an
"average" rating -- consistent with last year -- but Consumer
Reports yanked its recommended endorsement from the Model S sedan
for the second time in four years, citing owner-reported issues
ranging from problems with the door handle to the newly standard
air suspension.
The Model X sport-utility vehicle also fared poorly this year,
ranking among the worst performers in the nearly 300 models
reviewed in this year's report. The influential product-review
magazine pointed to ongoing problems with the falcon-wing doors and
the center display screen as contributors to its
"much-worse-than-average" predicted reliability rating.
Tesla challenged Consumer Reports' latest reliability assessment
of its vehicles and the ranking versus peers, noting the brand and
its vehicles have earned high marks from the magazine and its
readers in the past.
"Not only are our cars the safest and best performing vehicles
available today, but we take feedback from our customers very
seriously and quickly implement improvements any time we hear about
issues," a company spokesperson said.
Tesla has addressed the suspension issues in the Model S and has
steadily improved the quality of the Model X, which had "some
quality inconsistencies" in the earliest production models, the
spokesperson said.
The Detroit car makers had a difficult year with not a single
domestic brand making the top half of the rankings and several
makes, including Buick, Chevrolet and Chrysler, falling multiple
notches, moving them closer to the bottom.
Ford Motor Co., General Motors Co. and Fiat Chrysler Automobiles
NV are each going through a heavy new-car launch period, where they
are introducing a lot of new technologies to the market, such as
eight-speed transmissions and more sophisticated multimedia
systems, said Jake Fisher, director of auto testing at Consumer
Reports.
The new features add complexity and increase the chances for
things to go wrong, which is one reason their predicted reliability
scores have been lower than in years past, Mr. Fisher added.
"As we get new technology, there is a learning curve" to making
it work seamlessly, Mr. Fisher said in an interview with The Wall
Street Journal. Tesla's performance has also been dinged because it
has generally been more aggressive about rolling out new features
that are still relatively unproven in the marketplace, he
added.
Among the low-ranking brands was GM's Buick, which had been a
strong performer over the past few years but dropped 11 slots in
the latest ranking due to problems with a new nine-speed
transmission. Fiat Chrysler's Jeep and Ram brands also scored
poorly.
The Ford brand placed the highest among the U.S. auto makers,
but dropped three spots from the previous year. Ford said it is
pleased that it ranked highest among domestic brands and will
review the ratings as the auto maker works to improve quality.
GM and Fiat Chrysler didn't have an immediate comment.
The U.S. car companies have long lagged behind Asian brands in
Consumer Reports rankings, despite steady improvement in other
outside measures of quality and reliability. For example, in a J.D.
Power ranking in June of quality in the first few months after
purchase, several U.S. brands rated near the top, including Ford,
GM's Chevrolet brand and Fiat Chrysler's Ram truck line.
Volvo ranked the lowest among the 29 brands, which Consumer
Reports largely attributed to a problematic multimedia system used
on several sport-utility models. Volvo, which is owned by China's
Zhejiang Geely Holding Group, didn't immediately respond to a
request for comment.
Toyota Motor Corp.'s Toyota and Lexus brands, meanwhile, held
the top two slots, a position the Japanese car maker has occupied
since 2014. Mr. Fisher said Toyota's more cautious approach to
rolling out new technologies has aided them in their reliability
scores, whereas brands like Tesla that tend to be early adopters
have struggled.
"[Tesla] has made the decision to be first rather than make sure
it is reliable," Mr. Fisher said. "That's the opposite of Toyota,
who is happy to be last to the party."
A Toyota Motor spokesman said it was pleased with its high
ranking. "Our brands are built on a bedrock of quality,
dependability, and reliability, and this recognition from Consumer
Reports helps validate our approach," the spokesman said.
The Consumer Reports seal of approval is sought after by the
auto industry to help bolster marketing claims. The annual rankings
are based on weighted data collected from Consumer Reports' members
who own or lease a car no more than three years old.
Other Asian brands led the list, with Mazda ranking third,
followed by Subaru and Kia. The only non-Asian brands in the top 10
were Audi, BMW and Mini.
Tesla's performance in Consumer Reports' reviews and surveys has
been mixed over the years. The magazine first pulled its
recommended rating from the Model S sedan in 2015, citing quality
concerns from owners, such as body squeaks and leaky sunroofs, but
in 2016 restored the influential endorsement.
Earlier this year, Consumer Reports said it couldn't recommend
the Model 3 because it took too long to stop, but Tesla improved
the braking distance with a wirelessly transmitted software update,
prompting the magazine to reverse its earlier decision to withhold
it.
Mr. Fisher said Tesla continues to command high owner
satisfaction and performs well in other areas. But unlike more
traditional auto makers, it continually updates its existing
models, causing a wider fluctuation in its predicted reliability
scores. "They're constantly changing the car," he said. "As you add
more complexity, you're going to have more problems."
Write to Chester Dawson at chester.dawson@wsj.com
(END) Dow Jones Newswires
October 24, 2018 13:00 ET (17:00 GMT)
Copyright (c) 2018 Dow Jones & Company, Inc.
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