China Introduces New Regulations for Autonomous Vehicle Claims after a Fatal Xiaomi Vehicle Mishap
In response to a deadly crash involving a Xiaomi SU7 electric sedan, China's Ministry of Industry and Information Technology (MIIT) has issued new regulations to ensure stricter safety oversight, clearer system boundaries, graduated deployment requirements, and tighter marketing controls for ADAS and autonomous driving.
The new rules, which affect all automakers operating in China, aim to curb the practice of deploying experimental features to vehicles already in customers' hands and prohibit automakers from implying that vehicles can drive themselves. Companies must now refer to their systems as "combined assisted driving."
Following the incident, MIIT instructed automakers to strengthen ADAS testing, clearly define system limitations, enforce safety protocols, and prohibit exaggerated or misleading advertising related to ADAS capabilities. The State Administration for Market Regulation also released a draft regulation targeting intelligent connected new energy vehicles (NEVs) that strengthens rules on software updates, safety defect management, and marketing.
Manufacturers must now file over-the-air (OTA) software updates in advance, thoroughly test and verify them, and are forbidden from using OTA to hide defects. The draft also mandates proactive consumer safety warnings and bars misleading promotional claims about autonomy and safety features.
China has a clear mandate for autonomy capability, requiring that by 2025, at least 30% of new vehicles sold must have Level 3 or higher autonomous driving capabilities. The new regulations reflect China’s move to promote responsible ADAS and autonomous system deployment through heightened safety scrutiny, marketing transparency, and fostering advanced autonomous technology integration in new vehicles by the 2025 deadline.
MIIT emphasized the need for system clarity, comprehensive testing, and consumer education during a meeting with Tesla, BYD, Leapmotor, Huawei, and other manufacturers this week. The incident involving the Xiaomi SU7 electric sedan, which struck a cement barrier at roughly 97 km/h just seconds after the driver took over from the car's ADAS, fueled public debate over how driver-assistance features are marketed and perceived.
Experts believe the new regulations could ultimately prompt a necessary consolidation of China's overcrowded auto market, while some express concerns that the new regulations may slow innovation and increase compliance costs. Nonetheless, the regulations are intended to improve long-term safety outcomes for drivers and pedestrians alike.
The new regulations, affecting all industries including automotive, technology, finance, and transportation, will prohibit manufacturers from making misleading claims about autonomous driving and safety features. To ensure transparency and safety, companies must now refer to their systems as "combined assisted driving" and file over-the-air software updates in advance for thorough testing.
