In the realm of electric vehicle (EV) technology, Tesla has recently received approval to test its advanced driver assistance systems (ADAS) on select streets in Shanghai, marking a major step towards the eventual deployment of Tesla’s Full Self-Driving (FSD) suite in China’s competitive automotive market.

According to Bloomberg Law, Tesla has been granted permission to test its FSD program with 10 EVs in Shanghai initially. The Shanghai Observer confirmed that the city is allowing these Tesla models to carry out tests of the company’s most advanced autonomous driving software.

The approval follows Tesla CEO Elon Musk’s visit to Beijing in April, where discussions about the rollout of FSD were believed to have been discussed. Recently, Tesla reportedly cleared early regulatory hurdles, including resolving issues related to mapping and navigation functions by collaborating with China’s Baidu.

Currently, Tesla’s FSD program is available in China but with a restricted set of features. This development is seen as a win for Tesla, as it will allow the company to gather millions of miles of data from the initial testing. As a result, this will enhance the accuracy and robustness of its neural network, which could also boost Tesla’s competitiveness in the Chinese market.

Beyond Shanghai, there are indications that Tesla might gain approval for testing in other Chinese cities. Officials in Hangzhou, located in the Zhejiang province, are reportedly considering granting similar permissions according to Bloomberg.

As Tesla begins its FSD testing in China, it will compete with local challengers including Xpeng and Xiaomi, who are developing their own autonomous driving systems. However, Tesla’s extensive data collection and processing capabilities could give it an advantage. With testing for Tesla’s FSD program progresses, the way for wider adoption of self-driving capabilities in EVs will potentially reshape the future of sustainable transportation in China while accelerate the transition to electric mobility.

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