Tesla has recalled approximately 10,500 of its Powerwall 2 home energy storage batteries in the United States due to a defect in a third-party battery cell that could cause the units to overheat and catch fire. [1] The recall was initiated after 22 reports of overheating incidents, which included six instances of smoking and five fires that resulted in minor property damage, according to the US Consumer Product Safety Commission. [1] No injuries have been reported. [1] This action follows a similar recall for the Powerwall 2 in Australia that began in September 2025 for the same issue. [1] Tesla has stated that the problem does not affect its Powerwall 3 model and that all affected units are being replaced free of charge. [1] The company also noted that almost all of the recalled units in the US have been remotely discharged to render them safe. [1] This news comes as Tesla's stock experienced a sharp decline, attributed to a broader tech sell-off and company-specific challenges. [2, 3, 9]