Business Desk 
Mar 13, 2025
Tesla is working with Baidu, China’s top mapping company, to improve its Full Self-Driving (FSD) system in the country. This move comes after Tesla’s latest software update, FSD Version 13, received criticism from Chinese users for not meeting expectations.
Baidu has sent engineers to Tesla’s Beijing office to help integrate better navigation maps into FSD. This includes improving how the system detects lane markings, traffic signals, and road layouts.
Unlike in the US, where Tesla trains its self-driving AI with local data, China’s strict data laws prevent the company from transferring driving data outside the country. This has made it difficult for Tesla to improve FSD on Chinese roads.
Tesla has been facing growing competition in China from companies like BYD and Xpeng, which offer cheaper EVs and do not charge extra for similar self-driving technology.
Moreover, it currently charges 64,000 yuan ($8,834) for its FSD system, in addition to its EV prices starting from $32,500.
As sales declined in Europe and the US, China is still a significant market for Tesla. Nevertheless, its share of the Chinese EV market dropped from 11.7% in 2023 to 10.4% in 2024.
