Tesla Secures Approval for Full Self-Driving Software Launch in China Through Baidu Partnership

Tesla $TSLA has received preliminary approval from Beijing to introduce its Full Self-Driving (FSD) software in China through a partnership with Baidu $BIDU.

The collaboration leverages Baidu’s mapping and navigation capabilities, addressing regulators’ concerns over data security risks by partnering with a Chinese company.

Tesla’s Model 3 and Model Y have become the first foreign automakers to meet China’s key data security and privacy requirements, a milestone that could mitigate apprehensions surrounding the introduction of FSD technology in the market.

Previously, Tesla vehicles were prohibited from use by government agencies, state-owned enterprises, and military sites in China due to data security concerns.

The announcement follows an undisclosed visit by CEO Elon Musk to Beijing, where he engaged with Premier Li Qiang and other Chinese officials.

The market response has been positive, with Tesla’s stock up by 9% and Baidu’s stock up by 6.10% following the partnership agreement to launch Tesla’s FSD technology in China.


Xpeng CEO Xiaopeng He has expressed a positive outlook on Tesla’s introduction of full self-driving (FSD) technology into China, viewing it as a catalyst for propelling the entire electric vehicle (EV) industry forward.

He believes that within three years, large AI models will play a crucial role in enabling autonomous driving, with Tesla’s reputable brand and advanced technology setting formidable standards in the field.

Xpeng’s CEO emphasized the readiness of their own advanced driver assistance system, XNGP, which has undergone rigorous testing in Europe and demonstrated promising capabilities.

He’s optimism regarding Tesla’s collaboration with Baidu for mapping data and compliance with China’s data security regulations indicates potential advancements in the country’s EV market.

As one of Tesla’s primary Chinese competitors in the autonomous driving domain, Xpeng stands to benefit from Tesla’s entry into the market, while also being well-prepared to compete with its own advanced technologies and tested systems.


Tesla, has put forward plans to introduce robotaxis in China. Per reports, China might endorse Tesla’s local testing and showcasing of robotaxis, though full approval for Full Self-Driving (FSD) implementation in China has not been granted, as per China Daily via Reuters.

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