Chinese EVs to Feature Self-Driving Tech in 2025
Around 15 million new cars hitting the roads in mainland China this year, including models priced below 100,000 yuan (US$13,914), will come equipped with preliminary autonomous-driving technology. These vehicles will offer at least level 2 (L2) self-driving capabilities, allowing them to control steering, acceleration, and deceleration, while still requiring drivers to be ready to take over at any moment.
According to Zhang Yongwei, general secretary of China EV100, by 2025, two out of three new cars sold in China will possess L2 autonomous driving capabilities or higher. This advancement in technology is seen as a crucial battleground for car manufacturers amidst fierce competition in the industry.
David Zhang, general secretary of the International Intelligent Vehicle Engineering Association, highlighted that the mass production of advanced driver assistance systems (ADAS) in China has made self-driving technology more accessible to Chinese consumers. The increasing adoption of intelligent vehicles signifies a significant shift in the global automobile sector.
In 2024, Chinese automakers delivered 22.9 million cars, including electric and petrol vehicles, to both domestic and international markets, marking a 5.5% increase from the previous year. Reflecting on this growth, BYD, the world's largest EV manufacturer, is planning to produce cars priced below 100,000 yuan with preliminary ADAS features.
Paul Gong, head of China auto research at UBS, anticipates that 2025 will witness the democratization of high-end autonomous-driving systems in mainstream vehicles in China. This trend is expected as various carmakers intensify their innovation efforts to outpace competitors.
Autonomous driving technology is classified into five levels of sophistication, with most intelligent vehicles in China falling under L2 or L2+ categories based on the standards set by SAE International. These levels mandate that drivers remain alert and ready to take control when necessary. The future holds the promise of L3 systems that are more hands-off, with L4 and L5 offering increasingly automated driving experiences.
As the cost of advanced driver assistance systems continues to decrease, standing at around 10,000 yuan, the appeal of smart cars is on the rise among young drivers in China. Zhao Zhen, a sales director at Wan Zhuo Auto in Shanghai, notes that brands offering models with fewer human interventions are particularly attractive to potential buyers.
Chinese car manufacturers are striving to keep pace with Tesla, a frontrunner in self-driving technology with its Full Self-Driving (FSD) system. Although not yet approved for use in China, Tesla's FSD system is expected to undergo testing this year. Tesla currently charges US$8,000 for FSD installation in the US, along with a US$99 monthly subscription fee.
15 million new Chinese cars to feature self-driving technology in 2023.
Majority of intelligent vehicles in China classified as L2 or L2+.
Cost of advanced driver assistance systems has decreased to around 10,000 yuan.
Source: SCMP