Tesla (NASDAQ:TSLA) is testing the waters in China with a free one-month trial of its Full Self-Driving (FSD) feature from March 17 to April 16. The trial is available to a select group of Tesla owners who have vehicles equipped with the latest driving-assistance hardware and software. This FSD technology, powered by generative AI, is designed to tackle more complex driving conditions, but Tesla’s warning is clear: the system remains a Level 2 driver assistance feature, and driver intervention is still a must.
The rollout will happen gradually, and Tesla has cautioned that full coverage might not be possible everywhere. Drivers will see their vehicles automatically navigate city streets, change lanes, and even recognize traffic signals, but Tesla still stresses that drivers should stay alert and ready to take control. This is not a hands-off driving experience yet. Tesla also reminded customers that any traffic violations or accidents remain their responsibility while using the system. At the end of the trial, the FSD feature will be available for 64,000 yuan (about $8,900), with a discount for those upgrading from Enhanced Autopilot.
In light of declining sales globally and in China, this FSD trial looks like a calculated move to reignite interest in Tesla’s vehicles. While the company’s future in the region is uncertain, this trial could provide a boost. The strategy may help drive up sales, but we’ll have to see how effective it proves in a competitive Chinese market.
This article first appeared on GuruFocus.
