A Milestone in Autonomous Driving

In a groundbreaking move for the automotive industry, Arcfox and Deepal have become the first manufacturers in China to receive Level 3 (L3) autonomous driving license plates. This significant achievement was announced in December 2025, with Deepal securing the first plate, 渝AD0001Z, in Chongqing on December 20. Meanwhile, Arcfox claimed three plates in Beijing: 京AA0001Z, 京AA0733Z, and 京AA0880Z.

Understanding Level 3 Autonomy

The L3 designation allows vehicles to perform all dynamic driving tasks in specific environments, such as highways and congested expressways, without requiring constant driver attention. However, a human driver must remain vigilant and ready to take control if prompted by the system. Deepal’s model, the SC7000AAARBEV, can operate at speeds up to 50 km/h during traffic jams, showcasing advanced features like obstacle avoidance and risk response.

Regulatory Framework and Future Implications

China’s Ministry of Industry and Information Technology (MIIT) issued these pioneering licenses following earlier permits for pilot operations granted on December 15, 2025. The approval process reflects a broader push to regulate and commercialize autonomous technologies within the country, allowing operations strictly on designated routes in Chongqing and Beijing. This regulatory framework underscores China’s commitment to advancing domestic brands in the autonomous vehicle sector.

Market Impact and Projections

The issuance of L3 license plates marks a turning point for the electric vehicle market in China, which has been experiencing declining demand. Analysts predict that as many as 270,000 L3 vehicles could be sold in 2026, potentially capturing a 1% market share. This positions China as a leader in the global autonomous driving arena, validating the maturity of its domestic technology.

The Path Forward

With these developments, Arcfox and Deepal are paving the way for a new era of intelligent mobility in China. As more manufacturers receive similar approvals, the landscape of autonomous driving is set to evolve rapidly, offering both challenges and opportunities for automotive enthusiasts and industry stakeholders alike.