Tesla, Inc. (NASDAQ:TSLA) is reportedly expected to encounter a significant challenge upon introducing Full Self-Driving (FSD) technology in China, where there are over 300 million e-scooters.
This caution has been expressed by the EV behemoth's Chinese rival XPeng Inc.'s (NYSE:XPEV) head of autonomous driving, Li Liyun, CnEV Post reported, citing a post on Weibo.
He highlighted that China's road conditions are notably more complex than those in the U.S.
Li pointed out that China suffers from a significant lack of dedicated lanes for non-motorized vehicles, with approximately 30% of roads in central Guangzhou, for instance, lacking such lanes.
Li noted that in China, electric scooters often use motor vehicle lanes, posing a challenge for Tesla's FSD upon its introduction to the country, CnEV Post added.
He emphasized that optimizing smart driving experiences for these common scenarios is crucial for achieving effective performance in China's complex driving environment.
Xpeng's smart driving capabilities have been successfully tested in cities like Nanning, Guangzhou, Kunming, and Nanchang, handling complex scenarios involving electric scooters, as Li highlighted.
Xpeng's upcoming XNGP version, expected in July, will integrate end-to-end large model technology for broader use cases, the report read.
In China, where electric scooters are essential for short-distance travel, there are 350 million of these vehicles, with 42.28 million produced in 2023 alone, according to China's Ministry of Industry and Information Technology.
As Tesla prepares to introduce its Full Self-Driving (FSD) software in China, recent developments indicate progress toward its official launch this year, CnEV Post added.
Price Action: TSLA shares are trading flat at $196.28 at last check Thursday.
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