What happens with a faulty coolant temperature sensor?

A faulty coolant temperature sensor can lead to inaccurate readings of the engine's temperature, which may cause the engine control unit (ECU) to mismanage fuel injection and ignition timing. This can result in poor engine performance, increased emissions, and, in some cases, overheating if the sensor fails to signal that the engine is running too hot. Additionally, it can trigger warning lights on the dashboard and may lead to further engine damage if not addressed promptly.