I don't know if a carb rebuild with new needle and spring will fix it but often times if a needle is getting stuck, as you said, a new one will help and it's the cheapest thing to try, which is where I try to start. It sounds like the whole thing is low quality which doesn't surprise me with a Kohler, especially the Chinese made XT line. Obviously if you can get a whole knew carb for $30 shipped, that's the best thing. That said, I hope the new carb doesn't have the same problems. I am not a mechanic, nor do I play one on tv :biggrin: I was just saying what I would try if bringing it in for warranty work is a huge hastle.
Anyway, good luck to everyone, I feel bad you are having such trouble with new engines. It's a shame Kohler has gone cheap like this because they used to make some of the best engines out there.