Shanghai to Create USD72 Billion Smart Connected Car Development System by 2025
Xu Wei
DATE:  Sep 06 2022
/ SOURCE:  Yicai
Shanghai to Create USD72 Billion Smart Connected Car Development System by 2025 Shanghai to Create USD72 Billion Smart Connected Car Development System by 2025

(Yicai Global) Sept. 6 -- Shanghai aims to build a CNY500 billion (USD72 billion) system to develop smart connected vehicles by 2025, taking the lead in China, according to the megacity’s latest action plan.

Seventy percent of Shanghai's new cars will be equipped with Level 2 and Level 3 self-driving systems by 2025, the plan showed yesterday, with Level 4 vehicles commercially available in some areas and in some scenarios.

The country’s Taxonomy of Driving Automation for Vehicles introduced in March defines six self-driving levels: L0, emergency assistance; L1, partial driving assistance; L2, integrated driving assistance; L3, conditional autonomous driving; L4, highly autonomous driving; and L5, fully autonomous driving.

L2, with standard features including cruise control, lane keeping, and parking, has been widely implemented. L2 and above smart models accounted for 38 percent of all new vehicles in the first half of the year, with L3 models making up 5 percent, according to Citic Securities.

SAIC Motor, China’s biggest automaker, and US electric car giant Tesla have big production bases in Shanghai. Among mainstream car producers in the city, Tesla has become the benchmark for intelligent driving. SAIC also recently started installing L2 smart driving systems on a grand scale.

Shanghai’s action plan also included exploring sustainable operations for smart rental vehicles to help commercialize driverless taxis. A number of robotaxi companies, including SAIC's Xiangdao Mobility, Baidu, and, have already launched passenger-carrying test vehicles in Shanghai.

For heavy trucks, the plan encourages firms to promote the application of autonomous driving in port logistics, reduce the need for humans, speed up the commercialization of operations, and explore unmanned operations.

SAIC's self-driving unit Utopilot has been running commercially at the ports of Shanghai, Ningbo, and Qingdao, and has 2.8 million kilometers of self-driving mileage and the trans-shipment of 93,000 standard containers under its belt.

Editor: Futura Costaglione

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Keywords:   Shanghai,Self-driving