At the World Economic Forum in Davos, Tesla Inc. (NASDAQ:TSLA) Chief Executive Officer Elon Musk said he expects China to approve the company's Full Self-Driving system soon.
Musk repeated an optimistic timeline he mentioned last year, suggesting approval could come next month.
However, narratives pointing to imminent approval are inaccurate, CnEVPost reported, citing state-run China Daily (which cited a Chinese government source).
Musk said Tesla hopes to secure supervised FSD approval in Europe first, followed by China on a similar schedule.
Chinese Government Response
A government source told state media that claims of rapid approval are "not true," CnEV Post adds. The source did not provide updated details or an alternative review timeline.
Tesla currently sells a basic driver-assistance system in China.
The product lacks several capabilities available in the U.S. version of FSD.
Company's Push In China
Tesla continues to push for broader deployment of advanced driver-assistance features in its second-largest market. Full regulatory clearance remains pending.
On Feb. 25, 2025, Tesla rolled out ADAS features in China resembling its U.S. FSD system.
The company avoided using the FSD name, and key functions remained absent, CnEV Post adds.
Industry Context
Tesla faces intense competition in China's autonomous driving sector, where domestic companies are rapidly advancing similar technologies.
According to Benzinga Pro, TSLA stock has gained over 10% in the past year. Investors can gain exposure to the stock via T-REX 2X Long Tesla Daily Target ETF (BATS:TSLT) and Simplify Volt TSLA Revolution ETF (NYSE:TESL).
