Enhanced smart driving initiatives by Tesla on the horizon in China, according to a fresh report
Tesla, the leading electric vehicle (EV) manufacturer, has announced its plans to transition into the post-autonomous driving era, with a focus on expansion and regulatory navigation in China and Europe.
The company shared details of its plans at the 2025 World AI Conference in Shanghai, where it showcased its EV models, humanoid robot, smart driving assistance technology, and V4 Supercharger. Elon Musk, CEO of Tesla, made a statement about using publicly available videos for training the Full Self-Driving system in China.
In China, Tesla is expected to deploy its supervised intelligent driver assistance system (akin to the Full Self-Driving system in the U.S.) throughout 2025, pending regulatory approvals. Due to stricter regulations and the need to adapt to regional road rules and cultural norms, Tesla's full "Full Self-Driving" branding is not yet authorized in this market. Instead, the system is officially referred to as a supervised driver-assistance suite.
The regulatory environment in China is complex, with each update requiring approval and testing per vehicle. Currently, FSD features are limited to Tesla’s AI4 hardware vehicles, with work ongoing for HW3 vehicles. Despite these challenges, Tesla brought advanced intelligent driving features to its FSD subscribers in China in a software update at the end of February.
In Europe, Tesla is working with the Netherlands and aiming to secure additional approvals from the EU and UNECE, targeting possible clearance by the end of Q3 2025 or the end of the year.
Meanwhile, Shanghai has issued a new batch of robotaxi test licenses to companies including Baidu, Pony AI, and WeRide. The city also plans to establish an autonomous driving large model evaluation system to achieve mass production of end-to-end smart driving models. Shanghai will deploy 500 ride-hailing vehicles for data collection, with over 10 million clips expected to be collected by year-end.
Tesla's expansion into China and Europe is not limited to its driver assistance system. The Shanghai Observer reported on Tesla's plans and expectations regarding its driver assistance system. Chinese automotive media outlet Dongchedi conducted a large-scale test comparing the smart driving capabilities of dozens of EV models available in China, with Tesla performing well in several categories.
The company expects a gradual rollout rather than immediate widespread availability, focusing first on supervised systems before moving toward more autonomous, unsupervised functions in select cities pending regulatory approvals. Tesla views 2025 as a transitional year into the "post-autonomous driving era," emphasizing expansion and regulatory navigation as key steps in China and Europe.
In addition to its efforts in China and Europe, Tesla has a factory in Shanghai, one of China's most EV-friendly first-tier cities, where it produces the Model 3 and Model Y. Tesla's Chinese rival, BYD, has also made strides in the autonomous driving market, surpassing 1 million units delivered for Smart Driving Edition models.
As Tesla navigates the complex regulatory landscape in China and Europe, it continues to push the boundaries of AI-driven driving assistance and automation, setting the stage for a future where electric vehicles and autonomous driving become the norm.
- Tesla, the renowned electric vehicle (EV) manufacturer, has announced its strategy to progress into the post-autonomous driving era, focusing on expansion and regulatory maneuvering in China and Europe.
- At the 2025 World AI Conference in Shanghai, Tesla showcased its EV models, humanoid robot, smart driving assistance technology, and V4 Supercharger.
- Elon Musk, CEO of Tesla, expressed that publicly available videos would be used for training the Full Self-Driving (FSD) system in China.
- In China, Tesla plans to implement its supervised intelligent driver assistance system throughout 2025, subject to regulatory approvals.
- Due to stricter regulations and the need to adjust to regional road rules and cultural norms, Tesla's complete "Full Self-Driving" branding is not yet endorsed in this market.
- Shanghai has granted new robotaxi test licenses to companies like Baidu, Pony AI, and WeRide, aiming to establish an autonomous driving large model evaluation system for mass production of smart driving models.
- BYD, Tesla's Chinese rival, has made significant strides in the autonomous driving market, surpassing 1 million units delivered for Smart Driving Edition models.
- Tesla expects a phased deployment rather than immediate widespread availability, starting with supervised systems before advancing to more autonomous, unsupervised functions in select cities, pending regulatory approvals.
