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Tesla’s Full Self-Driving (FSD) system outperformed 35 Chinese electric vehicle (EV) competitors in a recent highway evaluation of Level 2 driver-assist technologies, according to a test conducted by Dcar (ByteDance’s automotive division) and China’s state broadcaster CCTV. The assessment, which simulated high-risk scenarios on expressways and urban roads, placed Tesla’s Model 3 and Model X at the top among 36 participants, with the vehicles successfully navigating five of six test conditions. BYD’s Denza Z9GT and Huawei-supported Aito M9 each failed three challenges, while Xiaomi’s SU7 cleared only one [1]. The results sparked widespread discussion on Chinese social media, with some critics questioning the methodology, though Tesla’s dominance was underscored by its hardware and software integration, including the latest
Hardware 4.0 platform [2].Elon Musk attributed the success to Tesla’s global data-driven approach, despite U.S. restrictions on exporting data collected in China for AI training. “Due to laws against data export, Tesla achieved the top results in China despite having no local training data,” Musk stated on X, framing the situation as a “quandary” for the company. Regulatory hurdles have limited Tesla’s ability to refine its algorithms using China-specific road conditions, yet the test highlighted the system’s adaptability to complex environments [1]. Meanwhile, China’s EV industry—led by domestic brands like BYD and Xiaomi—has made rapid strides in driver-assist technology. However, industry experts, including Wang Yao of the China Association of Automobile Manufacturers, acknowledged that local firms still trail Tesla in core capabilities such as multi-lane highway navigation and pedestrian detection [2].
The test coincided with heightened scrutiny of autonomous driving safety in China. In March, a Xiaomi SU7 crash on a highway killed three people, prompting regulators to ban terms like “smart driving” and “autonomous driving” in marketing materials. The public security ministry also clarified legal responsibilities for Level 2 systems, warning drivers against overreliance on semi-autonomous features [1]. These measures reflect broader concerns about safety and consumer expectations, with recent studies showing driver-assist systems are the most in-demand feature in EV purchases [2].
Tesla’s performance has bolstered investor confidence, with stock prices rising after the test results. However, the company faces a fiercely competitive market. Chinese EV producers are accelerating AI-driven innovations, including partnerships with tech firms like Huawei to close
. Xiaomi CEO Lei Jun recently praised Tesla’s “pioneering work,” acknowledging the need for continuous improvement [2]. Despite Tesla’s lead, local brands remain resilient. BYD recently surpassed Tesla in annual sales, while Xiaomi’s latest SUV attracted strong initial demand following a temporary dip in orders after the March accident [1].The test underscores the evolving dynamics in China’s EV sector. While Tesla’s global data edge currently gives it a performance advantage, local competitors are leveraging their understanding of domestic road networks to refine their systems. The outcome also highlights the importance of localized adaptability, as companies like Tesla seek regulatory approval to transfer Chinese data for algorithm training. For now, the results position Tesla as a benchmark in driver-assist technology, even as the market’s innovation race intensifies [1].
Source:
[1] [Tesla beats Chinese rivals in some driving assisted tests](https://www.freemalaysiatoday.com/category/business/2025/07/25/tesla-beats-chinese-rivals-in-some-driving-assisted-tests)
[2] [Hands-Free Driving Is Now The Most In-Demand Car Feature](https://insideevs.com/news/767032/hands-free-driving-feature-study/)
[3] [Tesla outperformed Chinese rivals in driver-assist test](https://sg.finance.yahoo.com/quote/TL0.F/news/)
[4] [China’s EV sales data](https://www.facebook.com/groups/196687020088622/posts/678369451920374/)

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