Volkswagen Group China has received a permit to conduct Level 3 autonomous driving tests on public roads in Hefei. The company has already commenced testing and is authorized to collect large-scale driving data within the city.

The initiative supports Volkswagen's goal to achieve L3 technology readiness in China by 2027. The software for the system is developed by CARIZON, a joint venture between CARIAD and Horizon Robotics, and utilizes the Hyper Sense 8 driver assistance system.

The underlying technology, GAIA 2.0, currently performs simulations equivalent to 5 million km of safety testing daily, with plans to increase this to 10 million km. Additionally, the company is developing its own C7H system-on-chip, designed to support up to Level 4 autonomy.

Volkswagen operates its largest R&D center outside Germany, the Volkswagen China Technology Company, in Hefei. The group also maintains a partnership with XPeng, holding a 5% stake and collaborating on the development of the China zonal electrical architecture.