Analysis of the China’s New Draft Notice on Recall, Production Supervision, and Standardized Publicity of Intelligent Connected New Energy Vehicles
Published 19 August 2025
Sarah Xuan
In order to strengthen the safety guarantee of intelligent connected new energy vehicles, and to reduce traffic safety risks and consumer misguidance through recall, production consistency supervision, and advertising regulation, on August 13, 2025, the State Administration for Market Regulation, together with the Ministry of Industry and Information Technology, issued the Notice on Recall, Production Consistency Supervision, and Standardized Publicity of Intelligent Connected New Energy Vehicles (Draft for Comments). The deadline for comments is September 15, 2025.
This article will briefly introduce and analyze the main content of the notice and its related impacts.
I. Main Content The notice puts forward clear requirements for intelligent connected new energy vehicles in four aspects: recall management, production consistency supervision, advertising and commercial publicity, and accident reporting. 1. Defect Investigation and Recall Management 1) Enterprises must prominently display safety warnings and usage instructions of driver assistance systems in vehicle apps, onboard information systems, and user manuals, to avoid misleading consumers into confusing “combined driving assistance” with “autonomous driving.”2) It is mandatory to equip vehicles with driver monitoring and alert functions, and to adopt measures such as voice warnings, steering wheel vibration, speed limiting, or roadside parking when drivers disengage from driving tasks.3) Enterprises are strictly prohibited from disabling driver monitoring functions through operations or system logic.4) The State Administration for Market Regulation will conduct special investigations into functional inadequacies and, when necessary, require recalls. 2. Production Consistency Supervision and Management 1) Enterprises must truthfully report key system information (such as combined driving assistance and energy storage devices) in the motor vehicle certificate system.2) OTA (Over-The-Air) upgrades must be filed for record; untested software must not be pushed, and defects must not be concealed through OTA.3) If vehicles are found inconsistent with admission information or upgraded without record-filing, they will be dealt with according to law. Enterprises with frequent OTAs will be subject to key inspections. 3. Advertising and Commercial Publicity Regulations 1) Enterprises must truthfully and fully disclose the level of driving automation, system capabilities, and boundaries.2) They must not exaggerate publicity, imply autonomous driving capabilities, or encourage unreasonable high-speed driving.3) For misleading publicity, regulatory authorities will conduct technical identification and rectify in accordance with the law. 4. Event and Accident Reporting and In-depth Investigation 1) Enterprises must promptly report safety incidents and accidents occurring during the operation of driver assistance systems.2) Failure to report as required will result in public notifications and rectification orders.3) Concealment or omission of major facts will be subject to special investigation and handling.
II. Regulatory Implications By extending and refining legal responsibilities, this notice further implements the requirements of the Regulations on the Administration of Recall of Defective Automobile Products into the field of intelligent driving. It not only incorporates compliance of driver monitoring systems and software upgrades into recall supervision but also strengthens enterprises’ comprehensive responsibilities for software and hardware safety.
With regard to the filing and verification requirements for OTA upgrades, although increasing compliance costs of software iteration, effectively curb the practice of using “upgrades” to avoid recalls. Meanwhile, the notice emphasizes the cross-application of the Advertising Law and the Anti-Unfair Competition Law, requiring that intelligent driving-related publicity must not be false, exaggerated, or misleading. Ambiguous expressions in the naming and marketing of “autonomous driving”-related functions may become the focus of law enforcement.
In terms of information disclosure, the notice requires timely and comprehensive accident reporting, and strengthens penalties for concealment, aligning with mandatory disclosure regimes in industries such as finance and pharmaceuticals. This indicates that intelligent connected vehicles are gradually being included in a “high-risk, high-disclosure” regulatory framework.
Comment
From a legal and regulatory logic perspective, this notice reflects a “full-chain” supervision approach of “prevention beforehand + process supervision + accountability afterwards.”
For enterprises, key response measures may include: 1. Technical Level 1) Ensure reliability of driver monitoring functions, preventing them from being disabled by users or systems.2) Strengthen cybersecurity and vulnerability monitoring mechanisms to prevent safety incidents caused by hacking attacks. 2. Compliance Management 1) Establish filing and testing mechanisms for OTA upgrades to prevent “push first, remedy later.”2) Ensure consistency and completeness of information in vehicle certificates and regulatory reporting systems. 3. Marketing and Publicity 1) Strictly review marketing copy and function naming to avoid hype around “autonomous driving.”2) Establish advertising compliance review procedures to prevent penalties or rectifications due to exaggerated publicity. 4. Risk Prevention and Control 1) Establish mechanisms for collecting and reporting accident information to ensure timely reporting to regulators.2) Incorporate accident investigation results and improvement measures into corporate compliance archives to avoid passive responses.
In short, future market competition will not only be about technology; enterprises must attach great importance to safety, transparency, and compliance.
This article will briefly introduce and analyze the main content of the notice and its related impacts.
I. Main Content The notice puts forward clear requirements for intelligent connected new energy vehicles in four aspects: recall management, production consistency supervision, advertising and commercial publicity, and accident reporting. 1. Defect Investigation and Recall Management 1) Enterprises must prominently display safety warnings and usage instructions of driver assistance systems in vehicle apps, onboard information systems, and user manuals, to avoid misleading consumers into confusing “combined driving assistance” with “autonomous driving.”2) It is mandatory to equip vehicles with driver monitoring and alert functions, and to adopt measures such as voice warnings, steering wheel vibration, speed limiting, or roadside parking when drivers disengage from driving tasks.3) Enterprises are strictly prohibited from disabling driver monitoring functions through operations or system logic.4) The State Administration for Market Regulation will conduct special investigations into functional inadequacies and, when necessary, require recalls. 2. Production Consistency Supervision and Management 1) Enterprises must truthfully report key system information (such as combined driving assistance and energy storage devices) in the motor vehicle certificate system.2) OTA (Over-The-Air) upgrades must be filed for record; untested software must not be pushed, and defects must not be concealed through OTA.3) If vehicles are found inconsistent with admission information or upgraded without record-filing, they will be dealt with according to law. Enterprises with frequent OTAs will be subject to key inspections. 3. Advertising and Commercial Publicity Regulations 1) Enterprises must truthfully and fully disclose the level of driving automation, system capabilities, and boundaries.2) They must not exaggerate publicity, imply autonomous driving capabilities, or encourage unreasonable high-speed driving.3) For misleading publicity, regulatory authorities will conduct technical identification and rectify in accordance with the law. 4. Event and Accident Reporting and In-depth Investigation 1) Enterprises must promptly report safety incidents and accidents occurring during the operation of driver assistance systems.2) Failure to report as required will result in public notifications and rectification orders.3) Concealment or omission of major facts will be subject to special investigation and handling.
II. Regulatory Implications By extending and refining legal responsibilities, this notice further implements the requirements of the Regulations on the Administration of Recall of Defective Automobile Products into the field of intelligent driving. It not only incorporates compliance of driver monitoring systems and software upgrades into recall supervision but also strengthens enterprises’ comprehensive responsibilities for software and hardware safety.
With regard to the filing and verification requirements for OTA upgrades, although increasing compliance costs of software iteration, effectively curb the practice of using “upgrades” to avoid recalls. Meanwhile, the notice emphasizes the cross-application of the Advertising Law and the Anti-Unfair Competition Law, requiring that intelligent driving-related publicity must not be false, exaggerated, or misleading. Ambiguous expressions in the naming and marketing of “autonomous driving”-related functions may become the focus of law enforcement.
In terms of information disclosure, the notice requires timely and comprehensive accident reporting, and strengthens penalties for concealment, aligning with mandatory disclosure regimes in industries such as finance and pharmaceuticals. This indicates that intelligent connected vehicles are gradually being included in a “high-risk, high-disclosure” regulatory framework.
Comment
From a legal and regulatory logic perspective, this notice reflects a “full-chain” supervision approach of “prevention beforehand + process supervision + accountability afterwards.”
For enterprises, key response measures may include: 1. Technical Level 1) Ensure reliability of driver monitoring functions, preventing them from being disabled by users or systems.2) Strengthen cybersecurity and vulnerability monitoring mechanisms to prevent safety incidents caused by hacking attacks. 2. Compliance Management 1) Establish filing and testing mechanisms for OTA upgrades to prevent “push first, remedy later.”2) Ensure consistency and completeness of information in vehicle certificates and regulatory reporting systems. 3. Marketing and Publicity 1) Strictly review marketing copy and function naming to avoid hype around “autonomous driving.”2) Establish advertising compliance review procedures to prevent penalties or rectifications due to exaggerated publicity. 4. Risk Prevention and Control 1) Establish mechanisms for collecting and reporting accident information to ensure timely reporting to regulators.2) Incorporate accident investigation results and improvement measures into corporate compliance archives to avoid passive responses.
In short, future market competition will not only be about technology; enterprises must attach great importance to safety, transparency, and compliance.