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Tesla Reaches Deals in China on Self-Driving Cars

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Elon Musk met with the country's premier, a longtime Tesla ally, and secured regulatory nods and a necessary partnership with a Chinese tech company.

Elon Musk, the Tesla chief executive, met with China's premier, Li Qiang, in Beijing on Sunday.Credit...Wang Ye/Xinhua, via Associated Press

Tesla has concluded a series of arrangements with regulators and a Chinese artificial intelligence company during a quick trip to Beijing on Sunday and Monday by Elon Musk, the carmaker's chief executive, potentially clearing the way for the company to offer its most advanced self-driving software on cars in China.

Tesla had faced a couple of hurdles to offering the latest level of autonomous driving, which it calls supervised Full Self-Driving. It has needed approval from Chinese regulators, who questioned whether the company took adequate precautions to protect data. And it has needed access to extremely high-resolution maps across the country.

The timing of Mr. Musk's trip was significant. He arrived in China days after he identified self-driving technology and artificial intelligence as critical to Tesla's future. Tesla is not just a car company, Mr. Musk told investors last week, saying, "We should be thought of as an A.I. robotics company."

Approval of the technology in China would give Mr. Musk a much-needed win after regulators in the United States issued a harsh assessment of the system's safety and performance in a report released on Friday.

Mr. Musk flew on his private jet to Beijing on Sunday morning and met almost immediately with Premier Li Qiang, China's No. 2 official after Xi Jinping. Mr. Li is a longtime ally of Mr. Musk who, when he served as Communist Party secretary in Shanghai, helped clear the way for Tesla's construction there of what is now the company's largest car assembly plant.

The government-linked China Association of Automobile Manufacturers later announced that Tesla and five Chinese automakers had obtained approval from authorities and the association for their data security precautions on dozens of car models. The rules bar automakers in China from using software that would identify the face of anyone outside his or her vehicle, and include many other restrictions. Self-driving systems use cameras to guide vehicles.

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