Tesla is facing significant skepticism from European regulators over its Full Self-Driving (FSD) technology, according to Reuters. While the Dutch regulator approved FSD for use in the Netherlands last month, other EU countries have expressed concerns about the system's safety and its tendency to speed. Regulators also questioned whether the technology is safe on icy roads and drivers' ability to circumvent features designed to prevent cell-phone use.
Key Takeaways
Tesla's China-made EV sales surged 36% in April, marking six consecutive months of growth. However, the company faces regulatory hurdles in Europe over its Full Self-Driving (FSD) technology while battling cheaper Chinese rivals.
- Tesla's China-made Model 3 and Y deliveries totaled 79,478 units in April
- European regulators express skepticism toward FSD technology
- Tesla aims for full FSD approval in China by Q3 after initial delays
- Company developing a cheaper compact SUV to compete with Chinese models
Meanwhile, Tesla's China-made electric vehicle (EV) sales jumped 36% year-on-year in April, marking a sixth consecutive month of gains. Deliveries of Model 3 and Model Y vehicles built at Tesla's Shanghai plant totaled 79,478 units, down 7.2% from March but significantly higher than April 2025 levels.
The figures suggest Tesla is stabilizing in its two most important markets outside the U.S. after a period of market share losses. However, regulatory delays around its Full Self-Driving software and new Chinese EVs may limit this recovery. The company now expects to secure full FSD approval in China by the third quarter, a delay from its initial target of the first quarter.
Tesla's sales continued to recover last month in several European markets, including Sweden, France, and Denmark. This was supported by stronger demand for battery EVs as oil prices spiked due to the U.S.-Iran conflict. Nevertheless, Tesla is stepping up efforts to defend its position against new Chinese models by developing a cheaper, compact SUV produced in China.
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