In 2026, Musk anticipates that China will fully approve Tesla’s FSD software

Elon Musk, the CEO of Tesla, is awaiting the complete approval of the company’s driver assistance system, or self-driving software, in China early next year.

At the company’s annual general meeting on Thursday, Musk stated, «We have partial approval in China and expect to get full approval around February or March.»

Although Tesla’s market share in China has dropped to 8% in the most recent quarter from a peak of 15.4% in the first quarter of 2023, local brands are winning over consumers with comparable driver assistance capabilities, frequently at no additional cost.

Since February, China has given partial approval to Tesla’s FSD (Full Self-Driving) technology. Owners of Tesla vehicles were previously limited to using a less sophisticated and less expensive autopilot.

However, FSD’s lack of clearance has been a major source of tension between owners and the automaker for years, as some Chinese Tesla customers opted to spend $9,000 for it with the belief that its complete deployment would not take long.

China’s partially approved Full Self-Driving (FSD) system is not as capable as its US counterpart. The car cannot move from one parking lot to another entirely on its own since it is not permitted to shift gears. On Chinese roadways, the technology has also had trouble recognizing local traffic signs.