China’s ‘Universal Intelligent Driving’ Leap Faces Backlash (AI Translation)

【周刊提前读】“全民智驾”大跃进遭反噬 安全底线待筑牢

In early 2025, China’s automotive industry saw a fervent push for “intelligent driving for all,” with automakers fiercely promoting advanced driving features and making them nearly obligatory in new car launches [para. 1]. This wave of enthusiasm hit a stumbling block when, on March 29, a Xiaomi SU7 electric sedan crashed fatally while operating in intelligent driving mode, spotlighting the gulf between marketed claims and system limitations [para. 2][para. 3]. The tragedy fueled heated public debate, exposing how automakers commonly downplayed these systems’ restrictions in their marketing [para. 3][para. 4]. Industry executives expressed concern that aggressive advertising, using terms like “zero intervention” and “free your hands,” was misleading consumers and cultivating a false sense of security about current technology [para. 5].

Despite China’s highly competitive auto market incentivizing rapid roll-out of smart features, many companies relied on overselling capabilities while tacitly permitting misuse or overuse. Technology validation often occurred in real-world scenarios by actual users, not only through internal testing [para. 6][para. 7]. Yu Kai, founder of Horizon Robotics, noted his unease over these trends as his firm—holding over 30% of China’s intelligent driving chip market—witnessed repeated overpromising by automakers [para. 8]. In the wake of the SU7 accident, industry events and public authorities urged a new caution, with some regions warning drivers to limit use of such features or disable them during construction or emergencies [para. 9][para. 10].

Nevertheless, technological momentum remains strong: Chinese companies are industry leaders and see intelligent driving as an arena of global competition [para. 11][para. 12]. Following several high-profile intelligent driving–linked accidents in 2025, regulators responded. On April 16, the Ministry of Industry and Information Technology called on automakers to clarify functional boundaries, improve safety standards, and cease exaggerated marketing [para. 13][para. 14].

The past year marked a pivotal shift: following the earlier phase of electrification, competition among Chinese automakers has concentrated on mass market “intelligentization.” Previously, advanced features appeared only in cars above 200,000 yuan ($27,500), but by the end of 2024, companies like GAC Aion and Xpeng had driven entry prices down to 150,000 yuan [para. 15][para. 16]. By March 2025, Chery went even further, introducing a model with basic intelligent driving tech for just 60,000 yuan [para. 17]. This surge caused shortages in key components like high-power ADAS chips and 8-megapixel sensors, according to Sigmaintell Consulting [para. 18].

The race has spawned an aggressive price war and muddled distinctions between assisted and autonomous driving. Marketing claims, such as Xiaomi’s “construction avoidance,” often overstated true capabilities, leaving consumers unclear about what their vehicles could (or could not) do, especially as most sales are of less-capable, lower-tier models [para. 19][para. 22][para. 23]. Over-the-air updates have enabled automakers to promise future upgrades, sometimes before systems are truly mature [para. 24][para. 25][para. 26]. Insiders caution that this rush could imperil the sector’s healthy growth [para. 27].

China and international standards both classify current mass-market intelligent driving as Level 2, requiring drivers to remain attentive and ready to intervene [para. 35][para. 38]. “L2+” monikers have proliferated in marketing to hint at higher capability, though products remain below the threshold where the system, not the driver, is legally liable [para. 39][para. 42]. The confusion has spurred calls for stricter definitions and naming standards [para. 45].

Looking ahead, experts agree that technological progress is unavoidable and essential for road safety, as human error remains the top cause of traffic fatalities [para. 47][para. 48][para. 49]. Yet, a mismatch persists between technology and regulation. While pilot programs for L3 (conditional automation) have begun, major companies believe automakers should gradually assume more liability [para. 53][para. 54][para. 57][para. 58]. Initiatives like “intelligent driving insurance,” underwritten by carmakers, may encourage responsibility, but real safety will require robust standards and regulatory “firewalls” [para. 63][para. 67][para. 68]. New rules require automakers to avoid implying autonomous capabilities in naming or marketing if the systems are not autonomous [para. 69][para. 70]. As China stands at a turning point, prioritizing safety, accurate information, and transparent boundaries for intelligent driving will shape the next phase of its automotive revolution [para. 13][para. 11][para. 70].