Tesla (NASDAQ:TSLA) is testing water in China during a one-month free trial of all autonomous driving (FSD) features from March 17 to April 16. The trial is available to a group of Tesla owners with the latest drive hardware and software. The FSD technology is powered by generative AI and is designed to deal with more complex driving conditions, but Tesla’s warning is clear: the system is still a Level 2 driver assistance feature, and driver intervention is still a must.
The launch will take place gradually, and Tesla warns that full coverage may not be possible everywhere. Drivers will see their vehicles drive city streets, change lanes, and even admit traffic signals, but Tesla still emphasizes that drivers should be alert and ready to control. This is not a handheld driving experience. Tesla also reminds customers that any traffic violations or accidents remain their responsibility when using the system. At the end of the trial, the FSD feature will offer RMB 64,000 (approximately US$8,900) and offer discounts for those who enhance the autopilot upgrade.
Given the decline in global and Chinese sales, the FSD trial looks like a purpose-built move to reignite interest in Tesla vehicles. While the company’s future in the region is uncertain, the trial may provide a driving force. This strategy may help improve sales, but we must understand the effectiveness it proves in the highly competitive Chinese market.
This article first appears on Gurufocus.
