Photo: Tesla, mmyers300 via Tesla Motors Club
Tesla launched the revamped Model 3 Performance to an enthusiastic crowd earlier this year. However, after a few months of ownership, owners began complaining about oil leaks in the rear drivetrain area. Since Tesla has been boasting about using a new low-friction fluid called Kick-Ass Fluid (KAF) in the rear drivetrain, people suspect that may be the culprit.
Tesla launched the refreshed Model 3 in the U.S. in January, about four months after opening orders in Europe and China. However, the most anticipated variant, the Model 3 Performance, wouldn’t be announced until April. That added to the hype, as many potential buyers were eager to see what Tesla had in store for its most powerful Model 3 yet.
The sports sedan did not disappoint, offering track-ready performance from a fairly affordable package. Tesla has introduced some worthy updates, making the revamped Model 3 Performance much better than its predecessor. The M3P gets a distinctive design for the first time, with a front spoiler and rear diffuser that have improved aerodynamics. The changes go even deeper, as Tesla has sought to squeeze every ounce of performance out of the new electric race car.
Tesla fitted the 2024 Model 3 Performance with a new rear-mounted motor, which offered both more power and improved efficiency. Tesla Vice President of Engineering Lars Moravy explained in a video released as deliveries began in May that the improved efficiency was partly due to a new low-friction oil he called “Full of fun” or KAF. Moravy did not offer further details on what makes it so special, other than allowing Tesla to “get all the benefits” of the drive unit.
Photo: @omg_tesla via X
It turns out that Kick Ass Fluid wasn’t just about getting the performance, it was also about pulling itself out. After a few months of ownership, many Model 3 Performance owners reported fluid leaking from the rear drivetrain. In some cases, the leaks were barely noticeable, requiring the rear aero shield to be removed to see them. In other cases, the leak was more severe, visible on the underbody panel or underneath the car. Some owners reported the leak showing up fairly early, sometimes after just a few hundred miles.
It's unclear whether the problem is caused by a faulty seal, overfilling the transmission units with fluid, or some other issue. Tesla Model 3 Performance owners also point to the new Kick-Ass Fluid as a potential cause of the leak. It's not uncommon for an improperly formulated fluid to affect silicone seals, causing a leak. In this case, it's too early to draw any conclusions until Tesla offers an explanation. So far, the Electric vehicle the manufacturer didn't even acknowledge the problem.
One of the owners who posted on the Tesla Motors Club forums about the issue asked a mobile service technician who came to fix a light strip on the passenger door if he knew anything about it. Of course, the technician denied it, which is something you’d expect from someone who isn’t authorized to speak publicly. It could also be that no one reported the issue in Richmond, VA, where that particular service center was located. Tesla Model 3 Performance deliveries didn’t start until late May, and it’s unlikely Tesla has delivered any significant numbers of them.
Concerned owners have offered photos and videos explaining where to check for the problem. This has helped others who didn't notice a leak but found fluid around the drivetrain after removing the rear underbody panel. The area you should check (or have checked when you book a service appointment) is around the driveshafts. This suggests that the driveshaft seals may have been damaged, which could be caused by faulty parts, poor installation, too much oil inside the drivetrains, or the new KAF fluid destroying the seals.
Photo: @omg_tesla via X
In any case, you should check it as soon as possible. I don't need to stress how damaging it is for the transmission to run with too little oil, especially when it's under stress. So far, the problem seems to be limited to 2024 Model 3 Performance cars built in Fremont and equipped with the new 4D2A rear transmission. It's unclear if the Tesla Model 3 Performance built in Giga Shanghai and sold in Europe also has this problem.
The refreshed Model 3 Performance isn't the only Tesla model with drivetrain issues. Earlier this week, several Cybertrucks All-wheel drive Owners have reported drivetrain failures that caused the truck to lose its rear motor and go into turtle mode. The problem appeared not long after Tesla offered a free drivetrain replacement to some Cybertruck owners.
Tesla explained that the offer was part of a survey to assess the reliability of the transmission unit on early Cybertruck vehicles. However, people believe that Tesla was acting proactively to replace the defective transmission units, similar to a silent voluntary recall. Let’s hope that Tesla fixes these quality issues for the Cybertruck and Model 3 Performance. The least they could do is issue a service bulletin to have all transmission units checked.
Here's what to look for. @ZEVcentric you can inspect your rear drive unit if you are in the Bay Area if you can't do it yourself. https://t.co/a3WppuxGWO photo.twitter.com/Xo6x2ZJPj1
— OMG_TESLA (@omg_tesla) August 13, 2024