BOC International Securities released a research report stating that the clarification of legal standards for autonomous vehicles on public roads is likely to benefit third-party automotive inspection companies. The firm recommends focusing on leading intelligent testing provider China Automotive Engineering Research; it also suggests monitoring companies involved in autonomous driving technology, including Desay SV (002920.SZ), Thunder Soft (300496.SZ), NavInfo (002405.SZ), PONY-W (02026), WERIDE-W (00800), and BLACK SESAME (02533). Key viewpoints from BOC International are as follows:

Accelerating regulatory easing for autonomous driving and promoting its large-scale adoption were highlighted topics during the 2026 National People's Congress. Currently, China’s autonomous driving industry is at a critical stage transitioning from pilot programs to widespread application, with insufficient legal recognition being a major constraint. Multiple delegates proposed expediting improvements to relevant laws and regulations to clarify the legal status of autonomous vehicles on roads. On February 10, 2026, the U.S. House of Representatives passed the Autonomous Vehicle Act of 2026, significantly relaxing restrictions on vehicles without steering wheels or pedals. China needs to accelerate legislative efforts in this field to secure strategic initiative.

The push for deregulation in autonomous driving policies has become a central topic of discussion during the congressional sessions. Proposals include unifying national entry standards, streamlining testing and licensing approvals, breaking down regional barriers to enable “one certification, multi-region access,” authorizing large-scale commercial operation of fully driverless vehicles in cities, supporting platforms such as “Radish Run,” and creating metropolitan application clusters—all aimed at fostering sustainable business models for autonomous driving.

With large-scale commercial use of autonomous driving on the horizon, there is an urgent need for institutional support. Zhu Huarong, NPC delegate and Chairman of Changan Automobile, pointed out that while China’s autonomous driving sector is transitioning from trials to mass commercialization, the lack of legal clarity remains a core bottleneck. Current laws and regulations lag behind technological progress. Accordingly, Zhu made three suggestions: 1) Accelerate amendments to the Road Traffic Safety Law to clarify legal road access; 2) Speed up the formulation of mandatory national standards to establish a foundation for mass production approval; 3) Introduce insurance products tailored for autonomous vehicles within the existing auto insurance framework to support the high-quality development of intelligent connected vehicles.

Additionally, Fu Zitang, NPC delegate and professor at Southwest University of Political Science and Law, also recommended amending the Road Traffic Safety Law to grant autonomous vehicles legal identity and adapt liability principles to autonomous systems, thereby reducing compliance costs and building public trust. He further advised expanding pilot demonstrations, selecting suitable metropolitan areas to build globally influential autonomous driving clusters, and encouraging the extension of driverless services in scenarios such as airports, high-speed rail stations, industrial parks, and urban micro-transit, while exploring personal autonomous vehicle models to serve public mobility.

China must accelerate autonomous driving legislation to maintain strategic initiative. The recent passage of the U.S. Autonomous Vehicle Act breaks a decade-long legislative deadlock and provides a legal foundation for scaling autonomous driving. Domestically, in September 2025, the Ministry of Industry and Information Technology sought public comments on mandatory national safety standards for combined driver-assistance systems, filling a regulatory gap and providing technical basis for market entry and supervision. In December 2025, the ministry approved two L3-level autonomous vehicle models for road tests in designated areas of Beijing and Chongqing. Multiple congressional proposals in 2026 are expected to further accelerate the commercialization of autonomous driving in China.

Relevant companies include China Automotive Engineering Research, Desay SV, Thunder Soft, NavInfo, PONY-W, WERIDE-W, and BLACK SESAME. Key risks include slower-than-expected industry progress, delays in R&D, and challenges in international cooperation.