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Tesla and EV buyers in China find relief in extended “new energy vehicle” subsidy
Chinese Premier Li Leqiang announced on Tuesday that the country would extend “new energy vehicle” subsidies for two additional years. The extension aims to combat economic downturns that have arisen from the halting of vehicle production as a result of the COVID-19 pandemic by encouraging consumers to buy electric and clean energy vehicles in its bid to promote environmental sustainability.
In China, the term “new energy vehicle” applies to any car with plug-in capabilities to receive power. This term refers to battery electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs), and fuel cell electric vehicles (FCEVs).
The extension of the subsidies will benefit electric vehicle manufacturers who sell or manufacture their products in China. Tesla is one of the companies that will benefit from the longer subsidy period as the electric automaker continues to make an impactful presence in China, the largest automotive market in the world.
Currently, subsidies in China are applied to electric vehicles with over 400 kilometers, or about 250 miles, of range. Consumers who purchase an electric car that fits the range standards are subject to receive a 25,000 yuan (USD 3,600) subsidy that decreases purchase cost, giving citizens more reason to purchase an electric vehicle instead of a petrol-based car.
According to a press release from Ideanomics, a company focused on facilitating the adoption of commercial electric vehicles, the extension of the subsidies will also allow fleet operators and manufacturers additional time to secure financing from investors. The extra time could also enable manufacturers to recover from decreases in production due to the current COVID-19 pandemic that has affected virtually all automakers across the world in the first quarter of 2020.
The addition of these subsidies could certainly help China recover from economic repression due to the coronavirus. As many portions of the Chinese economy were shut down due to the ongoing spread of the pandemic, increased subsidies that will lead to lower electric vehicle prices could encourage consumers to take advantage of cheaper car prices while they are still available.
Additionally, the Chinese Government will also begin pushing for the replacement of diesel vehicles with an emissions rating of III or higher in key cities like the Chinese capital of Beijing, a measure that will crackdown on excessive amounts of pollution that is placed into the atmosphere because of diesel vehicles. Money utilized by the Chinese Government will be used to begin replacing diesel vehicles in large cities that exceed the country’s Stage III emissions rating. This new, more strict rating would eventually clear cities high traffic cities like Beijing from heavy-duty diesel vehicles that release more than 2.1 grams of carbon monoxide per kWh of energy used, according to dieselnet.com.
The addition of these more strict and aggressive emissions standards in large cities would limit the amount of pollution that is sent into the air in areas where the population is exceptionally high, and more cars are on the road. The Ministry of Ecology and Environment in China implemented level VI fuel standards in July 2019, a measure that was used to crack down on low-grade fuel and reduce the overall presence of harmful chemicals in the atmosphere, Reuters reported.
The Ministry reports that diesel trucks accounted for just 7.8% over 300 million vehicles, but contributed to 57.3% of the total nitrogen dioxide emissions in the atmosphere. Furthermore, at least 75% of airborne particulate matter also came from diesel trucks, Reuters said.
Additional efforts to improve diesel emissions standards in the world’s largest car market could help the world work toward cleaner forms of transportation. The combination of new energy vehicle subsidies and more strict diesel truck guidelines will both contribute to a cleaner future in China, along with providing an added boost to the Chinese economy after COVID-19 made its mark in a multitude of ways.
Tesla AI lead Ashok Elluswamy said this week that 24-hour Robotaxi service is close. Replying on X to a rider who wanted Cybercab trips all night, he wrote that the capability would arrive “next month or so” once “the next tech to merge on the v15 plan” is ready.
The comment landed on September 4, one day after Tesla opened public Cybercab rides in Austin. It is the clearest near-term timeline yet for overnight unsupervised operation. Tesla’s paid Robotaxi network currently runs from 6 a.m. to 10 p.m. seven days a week across Austin, Dallas, Houston, Miami, Orlando, and Tampa.
next month or so. the next tech to merge on the v15 plan will enable it.
— Ashok Elluswamy (@aelluswamy) September 4, 2026
That 16-hour window is shorter than the 6 a.m. to 2 a.m. schedule the company used for much of the prior year.
Elluswamy did not name the specific feature or say whether the change would apply first to purpose-built Cybercabs, the existing Model Y fleet, or both. He also offered no city-by-city rollout list. The link to Full Self-Driving v15 is nevertheless significant.
Tesla has described v15 as a step-change architecture with seven parallel improvement tracks and roughly ten times more parameters than earlier builds. Early versions of that software already operate on the Robotaxi fleet and contain about 40 percent of the planned gains.
By July 2026, the unsupervised fleet had logged more than 380,000 miles across six cities in two states with what the company called an impeccable safety record and no notable incidents caused by the vehicles themselves. Tesla has repeatedly argued that camera-based end-to-end neural networks, rather than extra sensors, are the core of the solution.
Overnight service would test that claim in lower-light conditions and would also raise vehicle utilization, a key variable for Robotaxi unit economics. The company has already begun using public Superchargers at night and is building dedicated Robotaxi charging sites.
Riders have asked why software must change if the cars already drive in the dark. The practical answer appears to be reliability and scale: Tesla has held back mass expansion until more of the v15 stack is merged, citing the need for higher confidence before putting thousands of unoccupied vehicles on streets around the clock.
If the next module arrives on the timetable Elluswamy sketched, 24-hour service could begin in October 2026 in at least some markets.
That would mark a shift from a daytime-bounded pilot to a service that can run whenever demand exists, including the late-night hours that have so far remained out of reach.
Tesla is beginning to roll out Full Self-Driving Supervised v14.3.9 with a new active safety layer that can take control even when the driver is operating the car manually.
Tesla AI said the software can activate FSD on the driver’s behalf when an imminent collision is detected and Automatic Emergency Braking may not be enough. It may also engage if the system detects heavy distraction or an accidental FSD disengagement.
FSD Supervised v14.3.9 starting to roll out shortly
This release includes a new active safety feature set: FSD Supervised can now activate on your behalf when an imminent collision is detected and Automatic Emergency Braking (AEB) may not be enough.
It may also engage if we…
— Tesla AI (@Tesla_AI) September 4, 2026
The capability is essentially Automatic Collision Evasion. However, unlike conventional AEB, which mainly applies the brakes in a straight line, this feature can use steering, braking, and acceleration together if the car calculates that stopping alone will not prevent impact and a safer path exists. The system may change lanes or move toward a shoulder when conditions allow, then continue driving after the immediate threat is handled rather than simply coming to a stop.
The intervention is meant as a last-resort safety net, not a replacement for attentive driving.
Tesla Full Self-Driving v14.3.7 early review: FSD saved me from an accident
Tesla’s own description still frames FSD as supervised assistance. Secondary reports on internal release notes say the feature can fire while the car is being driven manually if cabin-camera monitoring suggests the driver is not sufficiently attentive, such as reaching toward the back seat, or if FSD appears to have been turned off unintentionally.
After the emergency maneuver, the car is expected to alert the driver and request a return to manual control.
The safety case is straightforward. Many collisions happen in the last second because a driver is looking away, fumbles a control, or faces an obstacle that braking cannot fully solve. A system that can both recognize that AEB is insufficient and execute a coordinated evasive path can reduce those remaining high-severity events.
Re-engaging after accidental disengagement also addresses a practical failure mode: a small steering nudge that drops FSD at the worst moment. The advantage is a background safety net that uses the same vision stack already running in v14, instead of leaving the car solely to emergency braking once the driver is no longer in command.
The feature still depends on FSD being enabled and, according to reports, an active FSD purchase or subscription. It does not make the vehicle unsupervised. Drivers remain responsible, and Tesla has not published how often the system is expected to intervene or how it will handle false positives.
If the rollout is conservative and the false-alarm rate stays low, the update is a meaningful step: FSD is no longer only a feature the driver turns on. In the rare moments when disaster is already forming, it can step in.
Tesla launched the all-electric, steering wheel-less, and pedal-less Cybercab last night at a quiet and small event in downtown Austin, Texas.
The launch, which marked the beginning of unsupervised ride-hailing for Tesla’s Robotaxi platform with Cybercab, has already caught the attention of the National Highway Traffic Safety Administration (NHTSA) who has more questions.
NHTSA opened an Audit Query (AQ) into the Cybercab’s Federal Motor Vehicle Safety Standards (FMVSS) certification that Tesla gave the vehicle. Manufacturers self-certify vehicles much of the time to avoid excessive regulatory delays.
Tesla Cybercab interior, note the lack of steering wheel and pedals. (Credit: @niccruzpatane/X< /a>)
However, the agency needs more information; it said in a summary:
“On September 3, 2026, Tesla began commercial deployment with a small number of its Cybercab vehicles in Austin, Texas. Tesla notified the Agency that it certified those Cybercab vehicles as compliant with all applicable Federal Motor Vehicle Safety Standards (FMVSS). Tesla also notified the Agency that it plans to gradually expand commercial deployment of the Cybercab to include additional vehicles and locations.”
It also went on to state that the Cybercab lacks traditional automotive controls, which is a groundbreaking move. The process is entirely new to the NHTSA, which gives the agency some leverage to put Tesla’s launch under a microscope:
“The vehicles lack permanently attached, conventional manual controls, such as a brake pedal, gas pedal, steering wheel, and mirrors. NHTSA is opening this AQ to examine the process and technical data on which Tesla relied when certifying the Cybercab and related issues. Among other things, NHTSA will consider the extent to which Tesla’s certification depended on determinations that certain FMVSS are inapplicable to the Cybercab.”
Tesla has added 45 Cybercab units to its fleet of Robotaxi-enabled cars in Austin, according to public documents the company submitted to the State of Texas over the past week. Enabling this level of self-driving is something Tesla has worked toward for many years, and now that it is finally here, it seems more than reasonable that regulatory agencies will have some questions.
Many outlets might try to frame this as a negative, but it is truly an agency looking to gain more information about groundbreaking tech that Tesla has been developing for years.
In an effort to keep riders, pedestrians, and property safe, any and all data accumulated from these first days, weeks, and months of rides will likely be shared with the NHTSA to enable broader rollout strategies across the United States and more in the future.
Tesla Robotaxi will be a 24/7 service: here’s when
Tesla Full Self-Driving will now overtake manual driving to avoid disaster
