Detroit, Michigan, is known as the Automobile City. The local newspaper, The Detroit News, focuses particularly on automotive industry-related news. On June 2nd, according to local time, the newspaper cited experts who said that due to Chinas unique market environment, changes in regulatory policies, and the remarkable speed of local brands in vehicle development, the United States faces the risk of being overtaken by China in the race towards autonomous driving technology development.
Its important to only return the English translation; This situation is changing, as Chinese cars have not yet entered the American market on a large scale, and there are also restrictions on data sharing between the two countries. Therefore, its rare to compare the levels of autonomous driving technology directly between the two countries.
After several years of delays, Tesla announced last week that its FSD Supervised system, a fully autonomous driving feature, will be officially launched in the Chinese market through a software update. Meanwhile, Googles autonomous driving subsidiary, Waymo LLC, is also preparing to make its debut in the UK market, aiming to compete directly with Chinese companies. Additionally, more and more Chinese car brands are actively expanding their presence overseas, extending their reach across the globe, including the North American market.
According to Liu Yuncheng, an analyst specializing in electric vehicles at the high-tech market research company Omdia, China is catching up at an unprecedented pace. This is similar to what happened ten years ago, when China was still weak in the field of battery technology. However, now, China not only invests significant resources and funds in R&D, but also strives to implement these technologies on a large scale. Today, this same momentum of progress can be seen in the field of autonomous driving technology.
August 8, 2024, Shanghai Auto Show: Car buyers experience the performance of Xpeng Motors. IC Photo
Experts generally believe that Teslas FSD system, which eliminates the need for drivers to operate the steering wheel, remains one of the leading players in global autonomous driving technology. This system utilizes artificial intelligence to learn driving by analyzing video footage of roads, rather than relying on pre-set rules.
Although the Chinese market already has a version of FSD with relatively simplified functions, Chinese competitors like Xpeng Motors and Xiaomi Motors have taken the lead in introducing more advanced semi-autonomous driving features in the Chinese market.
Shortly after visiting China last month along with U.S. President Trump, this American tech magnate announced through social media that the FSD system has been officially approved for use in the Chinese market. However, the final approval for the technology to be widely deployed in all models produced in China is still pending.
Reports indicate that this will help Tesla further strengthen its competitiveness in the worlds largest electric vehicle market. In recent years, the Chinese automotive industry has been highly competitive, and car manufacturers are increasingly relying on advanced driving assistance systems (ADAS) and other features to differentiate their products.
Liu Yuncheng said that as China provides clearer policy guidance regarding vehicle pricing and other technical specifications, the intense price competition has been alleviated. This is undoubtedly a positive factor for improving car manufacturers profit margins. He pointed out that the focus of the Chinese market has shifted from solely focusing on the battery life of electric vehicles to emphasizing smart technologies and advanced driving assistance systems.
These technologies are already being used in many models within mainstream price ranges. More and more consumers can afford these features, he said.
However, for reasons of safety and to prevent fatal accidents, the Chinese side introduced restrictions on the long-term autonomous driving mode – where drivers need to constantly monitor the road surface. This mode is also referred to as L2-level autonomous driving.
According to the new regulations, if a vehicle detects that the driver has left the steering wheel for more than one minute, the system must issue a warning, reduce the vehicles speed, or drive it to a roadside to park. In contrast, systems like Teslas FSD, General Motors Super Cruise, and Ford Motor Companys BlueCruise are still allowed to be used in the United States.
Jeremy Carlson, Vice President of Autonomous Vehicles at S&P Global Mobility, said when discussing the Chinese market: In terms of technology deployment and market introduction, it seems that China has a tendency to be cautious and seek stability. He added, In the United States, the industry operates under the principle of do first, then proceed, with full responsibility.
Nevertheless, Liu Yuncheng pointed out that many models in the Chinese market, with prices of around $30,000 (approximately 202,000 yuan), can already perform tasks ranging from autonomous driving from the starting parking spot to reaching the destination parking spot. This widespread adoption provides Chinese companies with vast amounts of data, which helps to accelerate the learning and optimization process of autonomous driving systems.
Additionally, China is moving towards introducing L3-level autonomous driving technology that allows vehicles to operate without the drivers direct attention on the road. In the United States, a few states, such as Nevada and California, have already allowed the use of L3-level autonomous driving functions on highways. Currently, some models from brands like Mercedes-Benz already offer this functionality. Honda is the first company in Japan to sell this technology.
The founder of the consulting firm Sino Auto Insights, Tu Le, believes that this kind of competition will drive innovation in the industry. In fact, Chinas vast pool of engineering talents, along with its highly enthusiastic consumer base towards technological products, also provide Chinese domestic car brands with unique advantages in market competition.
Liu Yuncheng said that Chinas advantages in the field of electric vehicles also contribute to the deployment of autonomous driving technologies and software systems. Additionally, its large market size serves as an important support for this development.
Tu Le said, The number of cars sold by China is far greater. Before the advent of the era of artificial intelligence, data was crucial. Although there are more variables now, training these complex algorithms still requires a large amount of data input.
Additionally, Chinese automakers develop new vehicles much faster than traditional automakers. Carlson pointed out that this means that if a traditional automaker starts developing new models simultaneously with its Chinese counterparts, it often falls behind by two to three years. At the same time, Chinese competitors are more likely to adjust their strategies or make changes during the life cycle of a single model.
However, challenges and limitations still exist. As Chinese automakers seek to expand their manufacturing capabilities overseas, regulatory requirements in Europe and other regions require them to collaborate with local suppliers when developing autonomous driving systems. Liu Yuncheng pointed out that this regulatory environment has led to a polarized situation in the global development of advanced driving assistance systems.
