China's Regulatory Changes: Self-Driving Cars Delayed After Accident

China has delayed its plans for mass production of self-driving cars after a deadly accident involving a Xiaomi SU7 in March 2025, which resulted in the deaths of three university students. According to the New York Times, the Ministry of Industry and Information Technology has only approved two of nine automakers that submitted plans to sell self-driving vehicles.

Beijing Automotive Group and Changan Automobile will be allowed to conduct limited testing of self-driving taxis on three designated stretches of highway in their hometowns, but these taxis cannot change lanes while under computer control.

Other roads will require a driver to take control. The cautious approach follows a recognition that the ambitious objectives set nearly five years ago for mass production by the end of 2025 were too optimistic, especially after the widely reported accident in Anhui Province, which had previously been suppressed by censors.