Tesla prepares to deploy full self-driving features in China, Bloomberg News reports

SHANGHAI: Tesla is readying a software update for customers in China to offer driving-assistance capabilities similar to its full self-driving (FSD) features in the US, Bloomberg News reported on Monday, citing a person familiar with the matter.

The capabilities will be deployed to customers who have paid 64,000 yuan (RM39,000) for what Tesla calls FSD, the report said.

The self-driving update will allow Tesla owners to use driver-assist features on city streets, the report said, adding that it will be introduced on select models and gradually expanded.

Tesla did not immediately respond to a Reuters request for comment.

The full roll-out of Tesla's self-driving features has faced roadblocks as regulators probe the electric-vehicle maker's software over safety and security issues owing to multiple accidents and crashes.

Earlier this month, Chinese EV giant BYD began to offer advanced autonomous driving features on most of its models, putting more pressure on Tesla to deliver with its own software.

Reuters had previously reported that Tesla was considering licensing FSD to other automakers in China and could sell it as monthly subscription to customers.

The move can help the company weather slowing demand for its electric vehicles in the US as consumers cut back on big purchases due to economic uncertainty.

Tesla said last month its sales in China rose to a record high of more than 657,000 cars in 2024 in a highly competitive market when its annual global deliveries fell for the first time.

Tesla CEO Elon Musk has long-touted the company's self-driving capabilities and analysts say his close ties with US President Donald Trump could help accelerate regulatory approvals.