Germany's influential TÜV reliability report has labeled the Tesla Model Y as the most defective car of the year. The annual roadworthiness inspection, which analyzed 9.5 million vehicles between July 2024 and July 2025, found the Model Y had a significant defect rate of 17.3%, the worst performance in its age bracket in a decade. The Tesla Model 3 also ranked poorly, coming in second to last with a defect rate of 13.1%. The report highlighted specific recurring issues in Tesla vehicles, with the most common problems relating to suspension, axle assembly, lighting, and brakes. The findings represent a notable setback for Tesla's reputation for quality in the highly competitive German automotive market, where it directly competes with established domestic brands. There was no immediate market reaction analysis available in the reports. The news follows other recent developments, including a legal victory for Tesla in India where a court granted an injunction preventing a local company from using the 'Tesla Power' trademark for electric vehicles.