Tesla just got the go-ahead from authorities in Shanghai to start testing its autonomous driving system on public roads in China, initially with a 10-vehicle fleet.

If Tesla manages to get its Full Self-Driving (FSD) system launchedin China, as it is now trying to, FSD will be far from the only game in town there.

A number of major electric car manufacturers like NIO or XPeng offer their own autonomous driving solutions there.

NIO recently demonstrated how its cars can get off the highway, drive to a battery swap station, have their pack changed with a charged one, and continue to the destination on their own.

BYD City Pilot vs Tesla FSD

The real test of self-driving systems are city streets, though, and Tesla's largest competitor BYD just came out with a first demo of its FSD competitor in urban traffic.

"BYD's first real test of the City Pilot without a map, the whole process is smooth and 0 takeover, successfully passing through the complex urban village at night,"posted the company.

BYD currently separates its assisted driving systems as Highway Pilot and City Pilot, and it has been staying very cautious about giving grand promises or flashy demonstrations of their capabilities.

The level of sophistication, however, has now apparently pleased BYD's management, and the company released its first City Pilot review video from an urban street session at nighttime.

Loaded on aBYD Denza N7 SUV, City Pilot managed to steer the car through the urban jungle that calls for complex maneuvers onnarrow streets with traffic, requiring zero interventions the entire time.

Unlike Tesla's FSD system which counts on aVision-only solution, Chinese EVs typically rely on more cameras, LiDARs, and other sensors to gauge city traffic, and BYD's cars are no exception.

Its CEO has acknowledged the importance of autonomy for the future of the company with the same conviction that Elon Musk has. As a result, BYD is pouring nearly $14 billion in self-driving car AI and large models research, and already has 5,000 engineers working on its development.

Unlike Tesla, BYD will be offering its FSD competitor as standard on more premium models, while for those below the $40,000 price threshold, it will be in the list of options.

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