China Issues new Notice on Over-the-Air (OTA) Upgrade Management for Intelligent Connected Vehicles

In recent years, the intelligent connected vehicle (ICV) industry has experienced rapid growth driven by technological breakthroughs and market expansion. However, its complex technical architecture and extensive societal applications have introduced a range of legal and regulatory challenges. To further enhance safety management in this field, on 25 February 2025, the Ministry of Industry and Information Technology (MIIT) and the State Administration for Market Regulation (SAMR) have jointly issued the Notice on Strengthening the Admission, Recall, and Software Over-the-Air Upgrade Management of Intelligent Connected Vehicles (hereinafter referred to as the Notice).
 This document aims to refine product admission requirements, strengthen recall mechanisms, and regulate OTA upgrade management to ensure a dynamic balance between innovation and safety. For automotive manufacturers, a comprehensive understanding of the core requirements of the Notice and the adoption of effective compliance strategies are crucial for maintaining market competitiveness and sustainable development.

I. Core Regulatory Requirements of the Notice

1.	Enhanced Product Admission Management

1)	Enterprises applying for admission of intelligent connected vehicle products equipped with advanced driver assistance systems (ADAS, Level 2 automation) and supporting OTA upgrades must supplement their technical parameter submissions and integrate them into MIIT’s production consistency management system while also filing with SAMR.2)	Manufacturers must provide complete inspection and testing reports to demonstrate compliance with established safety and technical standards.3)	Given the evolving nature of technology and regulatory frameworks, regulatory authorities will continuously update product admission standards and reinforce compliance assessment mechanisms for enterprises.

2.	Improved Recall Mechanism

1)	To address defects or accident risks associated with intelligent connected vehicle products, enterprises must establish a systematic incident and accident reporting mechanism and submit detailed reports to regulatory authorities within the prescribed timeframe.2)	In cases involving airbag deployment, irreversible occupant restraint system activation, or accidents resulting in casualties, enterprises must complete initial information reporting within 24 to 48 hours after the incident.3)	Under the sandbox regulatory framework, SAMR will evaluate enterprise recall management measures and refine relevant regulatory policies based on industry practices.

3.	Categorization and Compliance Management of OTA Upgrades

1)	Enterprises must establish stringent compliance frameworks for OTA upgrades, covering areas such as security assessment, testing and validation, logging, and upgrade traceability to prevent security risks associated with software updates.2)	The Notice specifies differentiated management requirements based on the type of OTA upgrade: a)	General upgrades (not involving changes to core technical parameters) may be implemented after record filing.b)	Upgrades affecting major technical parameters require regulatory approval before execution.c)	Upgrades related to Level 3 or higher autonomous driving functions must obtain corresponding admission approval.d)	OTA recall upgrades must be carried out in accordance with the “Administrative Measures for the Recall of Defective Automotive Products” and can only resume production after obtaining product modification approval.
II. Corporate Compliance Strategies and Response Measures
1.	Establishing a Comprehensive Internal Compliance Governance System
1)	Enterprises should set up dedicated legal compliance departments for intelligent connected vehicles to track policy developments, assess legal risks, and ensure product compliance with the latest regulatory requirements.2)	Introducing third-party compliance audit mechanisms before product development and market launch can enhance safety assessment and mitigate legal risks.
2.	Strengthening Safety Risk Early Warning and Incident Management
1)	Establishing an independent accident and incident monitoring mechanism to ensure prompt responses and resolution of emerging safety issues.2)	Participating in SAMR’s sandbox regulatory programs to conduct proactive testing and evaluation, enhancing product safety and market adaptability.
3.	Optimizing OTA Upgrade Management Practices
1)	Developing a full-process OTA upgrade management framework, including pre-upgrade risk assessment, functional safety validation, and post-upgrade user feedback analysis.2)	Implementing software version control and upgrade traceability technologies to ensure all OTA modifications are trackable and prevent unauthorized software tampering.

[Comment and Outlook]

The issuance of the Notice signifies a regulatory upgrade in the field of intelligent connected vehicle safety management, highlighting regulatory agencies’ focus on balancing technological innovation with public safety. For automotive manufacturers, this policy not only raises compliance requirements but also presents opportunities for promoting sustainable industry growth. Enterprises must integrate compliance management as a core competitive advantage, establishing robust legal and risk control systems to ensure that their products meet market demands while adhering to stringent national regulatory requirements. Looking ahead, as technological standards continue to be refined, the regulatory framework for intelligent connected vehicles will undergo further optimization. Enterprises should closely monitor policy developments and actively adjust their compliance strategies to align with the industry’s long-term development trends.