- Tesla is not the sole brand impacted. Local EV producer Xpeng has also been forced to delay an OTA upgrade for its Mona M03 electric car because of the same regulation.
Tesla has temporarily suspended the rollout of its Full Self-Driving (FSD) Supervised technology in China, weeks after rolling it out. The suspension is in accordance with new regulations put forward by China’s Ministry of Industry and Information Technology. The new rules dictate that automakers should submit thorough technical documents prior to rolling out over-the-air (OTA) software updates on customer cars.
Tesla had introduced FSD in China as a one-month trial to drive customer takeup. Tesla aimed to turn users into subscribers by enabling the feature via an OTA upgrade. But the new regulations have slammed the brakes on this plan. Grace Tao, Vice President, Tesla China, explained the situation on Weibo, promising to make the update available once all the compliance requirements are fulfilled.
More brands facing similar challenges
Tesla is not the sole brand impacted. Local EV producer Xpeng has also been forced to delay an OTA upgrade for its Mona M03 electric car because of the same regulation. The new measures indicate a strengthening grip by Chinese regulators over autonomous driving tech, presumably to ensure road security and data openness.
Mounting concerns over FSD performance
Apart from regulatory holdups, Tesla’s FSD technology has faced criticism for its on-road performance. In one documented incident, a Chinese blogger who was testing the FSD-enabled Model Y racked up seven traffic tickets in one evening. The system confused bike lanes with right-turn lanes and performed multiple illegal lane changes.
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A side-by-side test between Tesla’s FSD and Chinese competitor Li Auto and Aito’s driver-assist systems also put additional focus on the weaknesses of Tesla. The test showed Tesla’s system noted 34 driving violations and 24 driver interventions. The Li Auto L7 had 14 violations and 9 interventions, and the Aito M9 did slightly better at 14 violations and 12 interventions.
With more scrutiny from the authorities and increased competition, Tesla’s road to dominating the autonomous market in China might be tougher than expected.
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First Published Date: 26 Mar 2025, 09:31 AM IST
