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My 96GT has two plastic gears (meshing) that drives the cable and speedometer. So I think its possible the plastic gears could be damaged and therefore a non-expensive and quick labor replacement could be the fix.

I changed my plastic driven gear after a FRP 373 rear gear set was installed. To 'calibrate' my speedo, the gear was ~$10 and it took like 10 minutes to do.
 
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