In Guangzhou, a passenger steps out of Pony.ai’s robotaxis after reaching his destination. (Photo/Xinhua)
Chongqing - In recent weeks, several leading Chinese automakers and intelligent driving companies have ramped up their push into the Robotaxi sector through new partnerships, product launches, and capital market moves. Yet investor sentiment remains cautious as the industry continues to face challenges.
On November 5, new energy vehicle (NEV) maker Xpeng unveiled its latest Robotaxi lineup, announcing plans to launch three mass-produced models in 2026 and begin pilot operations. The vehicles will feature Level 4 (L4) autonomous driving technology powered by Xpeng’s self-developed chips and large AI models, integrating both hardware and software in the core system.
In addition to new product development, Xpeng has partnered with Amap (AutoNavi) to integrate its Robotaxi services into Amap’s ride-hailing platform. Amap, one of China’s most popular mobility service providers, counts 873 million monthly active users, according to QuestMobile. The company has also collaborated with major autonomous driving players such as WeRide and Pony.ai, further strengthening China’s Robotaxi ecosystem.
Amap’s aggregated platform offers users multiple ride-hailing options from different companies. This shared-platform approach allows Robotaxi developers to avoid building their own user interfaces while gaining access to Amap’s vast user base of more than 800 million, enabling them to focus resources on autonomous technology and vehicle production.
That same day, Pony.ai introduced its latest generation of Robotaxis, revealing that the cost of its autonomous driving system has fallen by 70% compared with the previous generation — a major step toward large-scale production. The company aims to expand its fleet to 1,000 vehicles by the end of 2025; as of October 21, it had deployed 726.
A key player in China’s intelligent driving sector, Pony.ai was among the first companies to roll out L4-level autonomous mobility services in late 2018. It has since obtained permits to operate fully driverless taxis in designated zones across Beijing, Shanghai, Guangzhou, and Shenzhen.
Another major contender, Apollo Go, a subsidiary of Baidu, disclosed its latest operational data on November 3. As of October 31, Apollo Go’s Robotaxi services had expanded to 22 cities worldwide, including Beijing, Shanghai, and Dubai. The company now handles over 250,000 fully autonomous orders per week, with total global service orders exceeding 17 million.
During Baidu’s August earnings call, founder Robin Li announced that Apollo Go had completed 2.2 million global trips in the second quarter of 2025 — a 148% year-on-year increase. By August, total global trips had surpassed 14 million, meaning Apollo Go added more than 3 million trips in under three months.
As automakers and tech firms increasingly focus on autonomous ride-hailing, commercialization continues to advance. According to consulting firm Frost & Sullivan, Robotaxi services are projected to achieve initial commercialization by 2026, with full-scale adoption expected around 2030, leading to widespread deployment across major markets.
Cost reduction remains a critical milestone. Paul Gong, head of China automotive research at UBS Investment Bank, said in August that the cost of autonomous systems and vehicles could drop below 300,000 yuan (US$42,119) by the second half of 2025.
Companies are already reporting significant progress. Apollo Go has reduced the cost of its sixth-generation vehicle by 60% compared with its fifth generation, bringing the price down to about 200,000 yuan. Meanwhile, Tesla’s upcoming Cybercab, slated for mass production in 2026, is expected to cost under US$30,000.
Despite these technological milestones and optimistic projections, capital market reactions have been lukewarm. On November 6, both Pony.ai and WeRide debuted their Hong Kong IPOs, only to see shares fall below their offering prices shortly after listing.
Their fundraising totals also fell short of expectations: Pony.ai raised HK$6.45 billion, short of its HK$7.19 billion target, while WeRide secured HK$2.26 billion, below the planned HK$2.93 billion. Both companies said the funds will be used to develop advanced autonomous driving systems and speed up L4-level commercialization — a sign of long-term confidence despite near-term market headwinds.
Financially, neither company has yet reached profitability. Pony.ai reported a net loss of US$53.26 million in Q2 2025, while WeRide posted a net loss of 406 million yuan for the same period.