Volkswagen Gets L3 Autonomous Driving Test Permit in China, Eyes 2027
The permit allows public road testing in Hefei, home to VW's largest R&D center outside Germany, as the group aims for L3 readiness by 2027.
Volkswagen Group China has secured a permit to test Level 3 autonomous driving on public roads in Hefei, marking a significant step toward the automaker’s goal of achieving L3 technology readiness in the Chinese market by 2027.
What Happened
Volkswagen announced that testing is already underway in Hefei, where the permit also authorizes large-scale driving data collection. The group described the permit as being issued under China’s strictest L3 framework, stating that its setup meets the country’s latest mandatory safety design standards. However, Volkswagen did not specify which authority issued the permit, the size of the testing fleet, or the specific roads approved for use. The announcement coincided with Volkswagen’s first China Technology Day held in Hefei. The city serves as a strategic base, hosting the Volkswagen China Technology Company (VCTC), the group’s largest R&D center outside Germany, and the Volkswagen Anhui production site.
Why It Matters
This development places Volkswagen in the competitive race to deploy Level 3 autonomy in China, a market where regulatory frameworks are advancing rapidly. The technology relies on CARIZON, Volkswagen’s intelligent driving unit in China, which utilizes a system called Hyper Sense 8 (HS8) and a proprietary world model named GAIA 2.0. Volkswagen claims GAIA 2.0 runs simulation equivalent to 5 million kilometers of safety testing daily, with plans to scale to 10 million kilometers per day. Additionally, the company is developing its own system-on-chip, the C7H, which it says can support up to Level 4 autonomy. It is important to note that this is a road test permit, not a product approval; Volkswagen cannot sell L3 vehicles to customers yet. The move positions VW to catch up with Chinese competitors, as MIIT granted the first L3 product approvals in December 2025 to Changan and BAIC Arcfox models, and other players like GAC and XPeng already hold road test permits.
The Bottom Line
Volkswagen is actively testing Level 3 autonomous driving in China with a target for technology readiness in 2027. The company faces established competition from local brands that have already secured product approvals or test permits. Volkswagen’s CEO for China, Ralf Brandstätter, emphasized that the group “will never advance technology at the cost of safety.” Currently, only Mercedes-Benz has a certified L3 system on sale in Western markets, while Tesla’s Full Self-Driving remains classified as a Level 2 system.
