Business
Tesla’s Autopilot Update in China Dissatisfies Owners Amid Competition

SHANGHAI, China — Tesla released an updated version of its autopilot software on February 25, 2025, in China, introducing a city navigation feature. However, the update has disappointed many Chinese owners, who feel the enhancements do not meet the company’s long-promised capabilities.
The U.S.-based electric vehicle manufacturer announced through its app that the new autopilot features include automatic lane changing based on speed and route, as well as traffic light detection at intersections, with the ability to determine whether to turn. An in-car camera will monitor driver attention, according to Tesla.
While these features echo those found in Tesla’s “Full Self-Driving” (FSD) option, they are not as sophisticated as the systems available in the United States. A source familiar with the situation noted this disparity arises from limited data training on Chinese roads and traffic regulations.
Musk has expressed a desire to bring full Autopilot and FSD capabilities to China. Yet, he acknowledged that obstacles exist due to technology restrictions from both the U.S. and Chinese governments. As a result, the company has delayed its launch timeline from late 2024 to this year.
Chinese social media users voiced their frustrations, stating the update does not deliver the advanced features Tesla has advertised for years. Competing Chinese automakers, such as Xiaomi, BYD, and Huawei, are providing similar driver-assistance technologies at lower prices or for free, amplifying these concerns.
One owner, Lu Panpan, from Zhejiang province, highlighted his disappointment after investing 56,000 yuan ($7,720) in the FSD software with his Model 3 in 2019. “We can tell Tesla has no choice but to deliver a knowingly restricted system,” Lu stated. “It is hard for Tesla to catch up with the smart-driving capabilities in Chinese cars, which even makes less sense given its high pricing.”
The delays in launching full FSD in China have placed Tesla at a competitive disadvantage relative to local rivals. For instance, Xiaomi’s SU7 electric sedan, priced lower than the Model 3, has sold approximately 10,000 more units in China from April 2024 to January 2025, according to data from the China Passenger Car Association (CPCA).
As Tesla charges almost $9,000 for a limited version of its FSD system on vehicles starting at $32,000, many consumers find better value and more advanced features in competing models. In contrast, Xiaomi’s SU7 offers enhanced smart-driving capabilities, including city navigation, at no additional cost.
BYD has also made strides, advancing autonomous driving features on many of its models at no extra charge, including options available for as low as $9,555. Tesla’s recent update closely resembles BYD’s mid-tier God’s Eye system, which utilizes advanced computing and lidar technology to aid in navigation.
While Musk has indicated Tesla is seeking regulatory approval from Beijing to implement FSD fully, current Chinese regulations require automakers to only register updates labeled as level-two autonomous driving technology. Under these guidelines, both Autopilot and FSD require human oversight, while more advanced features classified as level-three and above necessitate regulatory clearance.
Musk aims for Tesla vehicles to operate effectively in China despite the country’s strict data laws affecting training processes for self-driving systems. To overcome these restrictions, Tesla has been using publicly available footage of Chinese roads to train its AI software, a strategy Musk discussed during an earnings call last month.