Toyota plans to reboot its shrinking Chinese market with self-driving plans

Japanese automaker Toyota is reportedly planning to launch a new electric vehicle (EV) with autonomous driving technology in China next year through its local joint venture GAC Toyota.

According to various reports, GAC Toyota – a joint venture with Chinese state-owned automaker Guangzhou Automobile Group, announced at an event in Guangzhou on Friday that it will launch its first EV equipped with advanced autonomous driving systems similar to Tesla’s Full Self-Driving.

It is seen as part of efforts by Toyota to try and rescue its dwindling market share in the world’s biggest car market, a result largely of its disinterest in developing EVs. China is now the biggest EV market in the world, and Toyota’s market share has plunged significantly in recent years.

Planned to be launched in China in 2025, the Bozhi 3X SUV will feature advanced driving assistance for everything from parking to highway navigation and urban traffic situations.

The self-driving system has been developed in collaboration with local start-up Momenta, which has developed autonomous driving software for automakers such as Mercedes-Benz.  CnEVPost reported earlier in the week that GAC Toyota had confirmed this partnership on its Weibo social media channel.

GAC Toyota will also reportedly include Huawei’s in-vehicle operating system in an electric sedan – possibly the Toyota bZ3X – as well as roll out an iron phosphate lithium battery some time during 2026 and 2027 that the company says could reduce the production cost of its bZ4X EV by 40%.