China Auto Show 2024: EV Makers Launch Tesla Rivals Amid Crackdown on Autonomous Tech
- tech360.tv
- 12 hours ago
- 2 min read
More than 70 automotive brands are unveiling over 100 new or updated models at the Shanghai auto show from April 23 to May 2, intensifying competition in the world’s largest electric vehicle market.
Chinese giants like BYD and Geely are expected to dominate the event, while international players including Volkswagen, Nissan, Toyota and General Motors’ Cadillac brand aim to capture attention.
The show comes amid a government crackdown on marketing terms such as “smart” or “autonomous” following a fatal crash involving Xiaomi’s SU7 in March. The incident, which killed three people, occurred after the driver attempted to take control from the car’s assisted-driving system.
As a result, automakers including BYD and Zeekr are revising their presentations to focus on driver caution rather than automated-driving capabilities.
Driver-assistance systems have become a key differentiator in China’s crowded EV market. BYD, the country’s top EV and hybrid manufacturer, announced in February that its “God’s Eye” system would be standard across all models, including entry-level vehicles priced around USD 10,000.
Analyst Bo Yu from Jato Dynamics said BYD is using its scale to pressure rivals, similar to its earlier strategy in the EV sector.
In February, regulators also banned over-the-air updates to driver-assistance software without approval, prompting Tesla to end a free trial of its “Full Self Driving” software in China. Tesla has since renamed the system “intelligent assisted driving.”
Huawei, which partners with Chinese automakers on eight models, launched a campaign urging users to prioritise safety when using assisted-driving features. At a recent livestreamed event, actress Liu Yifei, a brand ambassador for Huawei and Chery’s Luxeed brand, echoed the message of cautious driving.
Zeekr, Geely’s EV brand, had planned to highlight its first model with Level 3 driver-assistance technology, which allows hands-off driving under certain conditions. However, the company will now focus on hybrid models and battery advancements during its press events.
Regulators are also tightening EV battery standards to reduce fire and explosion risks.
Despite regulatory hurdles, China’s “new energy vehicle” sector continues to grow rapidly. Electrified vehicles now make up over half of all new car sales in the country, surpassing targets originally set for 2030.
Around a dozen new electric crossovers debuting at the show are priced to compete directly with Tesla’s Model Y. These include Xpeng’s G6 and Zeekr’s E6, which offer advanced features at lower prices.
Tesla’s market share in China has dropped from 15% in 2020 to 9% in the first quarter of this year. The company has not participated in China’s auto shows since 2021 and has been slower to release new models compared to local competitors.
Xiaomi, which had been expected to unveil its YU7 crossover, will instead display its existing SU7 and SU7 Ultra models without holding a press conference.
Independent analyst Lei Xing described the wave of new Chinese electric crossovers as “Model Y killers,” saying Tesla now faces pressure from a dozen strong competitors.
Shanghai auto show runs from April 23 to May 2 with over 100 new models
BYD and Geely lead domestic brands; foreign automakers also participate
China cracks down on autonomous tech marketing after fatal crash
Source: REUTERS
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