Elon Musk explores Full Self Driving in China

Elon Musk is in Beijing to explore the possibility of introducing Full Self Driving (FSD) capabilities for Tesla cars in China. The Tesla CEO aims to enable autonomous driving mode in the country and transfer data collected locally to enhance the company's algorithms. While FSD is already available in the US, it is not yet operational in China.

During his visit, Musk met with Chinese Premier Li Qiang to discuss potential collaborations, with Musk expressing Tesla's willingness to deepen cooperation in China. Li reassured Musk that the Chinese market remains open to foreign-funded firms, emphasizing the importance of win-win outcomes.

China, as Tesla's second-largest market, has seen increased competition in the electric vehicle sector, with companies like Xpeng introducing self-driving features in their vehicles to rival Tesla. To address regulatory concerns, Tesla has established a data center in Shanghai to handle Chinese consumer data in compliance with local laws.

Recent scrutiny on Tesla's autonomous driving modes follows reports of crashes in the US linked to the technology. The National Highway Traffic Safety Administration (NHTSA) is investigating whether Tesla's driver assistance system adequately addresses safety concerns, particularly regarding driver engagement while using autonomous features.

Despite challenges such as declining global demand for electric vehicles and competition from Chinese manufacturers, Musk remains optimistic about Tesla's future. He has faced criticism for overhyping the potential of full autonomous driving, but he continues to push forward with plans for Tesla to operate as autonomous 'robotaxis'.

As Tesla grapples with fluctuating sales and profits, Musk emphasizes the need for pricing adjustments to align with production and demand. The company reported a decline in automotive sales and profits for the first quarter of this year, reflecting broader challenges in the electric vehicle market.

In the midst of regulatory scrutiny and market pressures, Musk's visit to China underscores Tesla's commitment to expanding its presence and advancing autonomous driving technology in one of its key markets.