Ten Tesla car owners in China have initiated a collective legal action against Tesla at the People's Court of Daxing District, Beijing. They accuse the automaker of false advertising and consumer fraud concerning its Full Self-Driving (FSD) feature, with total claims amounting to over 3.95 million yuan. The case has now entered its first trial phase. The plaintiffs assert that Tesla engaged in deceptive marketing practices, promoting the FSD feature despite being aware that it had not received approval from Chinese regulatory bodies and suffered from hardware deficiencies. In contrast, Tesla contends that the FSD feature has been partially or fully implemented and remains under ongoing development.

Specifically, nine of the car owners are seeking a "refund and triple compensation" for the FSD feature, while another owner, whose purchase decision hinged solely on the availability of full self-driving capabilities, is demanding a "refund and triple compensation" for the entire vehicle. Earlier, on May 22, Tesla China's official website revised the Chinese name of the FSD feature to "Tesla Assisted Driving," priced at 64,000 yuan. The updated description clarifies that the feature encompasses "Basic Assisted Driving" and "Enhanced Assisted Driving" packages, with expectations that future vehicles will be able to accomplish most driving tasks with minimal driver input. This represents the second rebranding of Tesla's FSD on its Chinese website, following a prior name change from "FSD Intelligent Assisted Driving" to simply "Intelligent Assisted Driving" in March of the previous year.