Abstract: An electrified vehicle includes a traction battery, an inverter coupled to the traction battery and operable to convert direct current (DC) power from the traction battery to three-phase alternating current (AC) power, a three-phase electric machine coupled to the inverter by associated cables, a sensor configured to generate a signal associated with rotational position of a rotor of the three-phase electric machine, a current sensor associated with each cable/phase of the three-phase electric machine, and a controller programmed to generate non-zero phase current at each of a plurality of predetermined regularly spaced rotational positions by either adjusting rotor angle or injecting q-axis current, command the inverter to inject a test current pulse to the electric machine, and generate a diagnostic signal in response to any one of the current sensor signals being less than an associated threshold to detect a cable or current sensor anomaly in a single phase.