Tesla is moving closer to a major milestone as its Tesla FSD approval is expected in both China and Europe as early as next month. The update was shared by Tesla CEO Elon Musk during his appearance at the World Economic Forum in Davos, signaling a crucial step in the company’s global expansion of its advanced driving software.
As one of the world’s leading electric vehicle brands, Tesla is increasingly focusing on software-driven revenue amid slower vehicle sales. The approval of Full Self Driving, also known as FSD, would allow Tesla to deploy its supervised autonomous driving system across a much wider fleet outside the United States. Musk stated that Tesla is hopeful to receive regulatory clearance in Europe first, followed by China within a similar timeframe.
Regulatory acceptance of FSD highlights Tesla’s strong progress in artificial intelligence and autonomous technology. However, experts note that while the system demonstrates impressive capabilities, it is still in the early stages when compared to its premium pricing. Tesla’s FSD package remains significantly more expensive than comparable solutions offered by other technology and automotive companies.
In Europe, Tesla has faced a slower rollout due to strict vehicle safety laws and a fragmented regulatory environment. Despite these challenges, the company has already secured approvals for assisted versions of FSD in several regions. The Dutch vehicle authority RDW is expected to decide on Tesla’s supervised FSD system in February 2026, based on earlier statements made in late 2025.
Tesla has previously indicated that approval in the Netherlands would serve as a gateway for other European Union countries. Once cleared, multiple EU nations could follow quickly, allowing Tesla to launch its FSD system more broadly even before a centralized EU-level approval is finalized.
Approval in China would mark another significant achievement, given the country’s complex regulatory landscape. Together, these developments could strengthen Tesla’s position as a leader in autonomous driving while opening new long-term revenue streams through advanced software services.
