Pion elastic scattering on deuterium is studied in the Kerman-McManus-Thaler multiple scattering approach developed in momentum space. Using a Paris wave function and the same methods and approximations as commonly used in pion scattering on heavier nuclei excellent agreement with differential cross section data is obtained for pion energies 100ϽT Ͻ250 MeV. At higher energies and very backward angles, discrepancies appear that are reminiscent of disagreements in pion scattering on 3 He, 3 H, and 4 He. At low energies T р65 MeV the model fails to reproduce experimental data at forward direction. In this kinematical region the coupling with the breakup channels has to be included. Polarization observables are studied in detail. While tensor analyzing powers are well reproduced, vector analyzing powers exhibit dramatic discrepancies.