Chinese state media refuted claims by Tesla CEO Elon Musk regarding the approval of Full Self-Driving (FSD) technology. Musk had suggested FSD would be approved in China as soon as next month.
Musk made the claim during the World Economic Forum in Davos. He suggested the timeline would follow anticipated European approval in February.
The optimistic forecast positively affected Tesla's stock. China represents a substantial revenue opportunity for the company's software division. State-run newspaper China Daily, citing a government source, reported that Musk's timeline is "not true." The source added that the timeline does not align with current regulatory reality.
Tesla reportedly made progress on data security clearances in China. However, the official denial casts doubt on the imminent rollout of the supervised autonomous driving system. This development tempers near-term expectations for a new revenue stream from the important international market.