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CA DMV takes aim at Tesla and makers of ‘auto-pilot’ and driverless cars

The California Department of Motor Vehicles (DMV) has issued a draft of regulations for autonomous cars that appears to take aim at Tesla, calling out for a ban on the use of “auto-pilot” in company messaging. The DMV says the proposal is intended to address “the risk of driver complacency and misuse of lower level systems where drivers are expected to remain fully engaged in the driving task.”
“The terms ‘self-driving,’ ‘automated,’ ‘auto-pilot,’ and other statements that lead a reasonable person to believe a vehicle is autonomous constitute advertising regulated by the truth-in-advertising provisions in the Vehicle Code,” outlines the DMV in its draft proposal. In order to use such words, cars would need to be equipped with “technology that has the capability of operating or driving the vehicle without the active physical control or monitoring of a natural person.” In other words, only cars capable of full Level 5 self-driving operation would be permitted to use the “auto-pilot” term.
After the deadly crash in Florida that took the life of Joshua Brown while driving behind the wheel of a Model S on Autopilot, the editors of Consumer Reports called on Tesla to stop using the term “Autopilot,” claiming that it can be misleading. They also urged the company to disable the autosteer feature that is a critical component of Tesla’s Autopilot system. The argument is that some people may assume Autopilot means their cars are truly self-driving when in fact they are not.
In rebuttal, Tesla has strongly advocated for continuing to call its package of semi-autonomous features “Autopilot”, insisting that it takes great pains to advise drivers that they ultimately remain responsible for the safe operation of their vehicles. In its latest software update, Tesla has even added several visual and audible cues — including what some have called “the red hands of death” warning — to reinforce the point that drivers must keep their hands on the wheel and pay close attention to the road ahead.
The move sets up a possible confrontation between the State of California and Tesla Motors. As reported by the Washington Post, a Tesla spokesperson issued this statement after the DMV draft rules were announced: “Autopilot makes driving safer and less stressful, and we have always been clear that it does not make a car autonomous any more than its namesake makes an aircraft autonomous.”
The issue is one of semantics. It is one thing to say that Autopilot is little different from the systems used to control aircraft but very few people have actual knowledge of what goes on inside an airplane cockpit. Tesla has run into difficulties translating the word into other languages accurately. Earlier this year, it amended how it referred to its Autopilot system after a crash on a highway near Beijing. The description on its Chinese website literally translated meant “self driving.”
It is doubtful Tesla will acquiesce to the DMV’s proposal given the company’s long stance that Autopilot is not a self-driving feature and requires driver’s to be alert and attentive by having hands placed on a steering wheel. Expect some major push back on the CA DMV proposed rules before they become final.

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Redwood Materials Launches San Francisco R&D Center

Redwood Materials is expanding into San Francisco by launching a new R&D center.
The battery recycling company unveiled plans for a 15,000-square-foot facility in the Bay Area’s Design District, a hub for advancing cathode production and future product lines. Equipped with cutting-edge lab spaces, Redwood’s new R&D center aims to bolster the company’s engineering muscle.
The San Francisco site opens doors for dozens of new hires, targeting mechanical, electrical, and software engineering roles. However, Redwood Materials will continue to ramp up teams in its Nevada and South Carolina campuses.
“There’s never been a better time to create a circular battery supply chain in the U.S.,” the company noted.
Redwood’s engineers designed systems to recycle most U.S. lithium-ion batteries, recovering over 95% of critical minerals and producing battery components domestically at scale. In the past year, the company recycled 20 GWh of batteries—equivalent to 250,000 EVs. It also launched the first U.S. lithium source and nickel “mine” in over a decade and broke ground on the nation’s first commercial cathode facility. The San Francisco R&D center builds on this momentum.
Redwood’s production is surging with campuses progressing in Nevada and South Carolina. The upcoming new facility in San Francisco sharpens Redwood’s focus on technical innovation, positioning the company to meet rising demand while competitors vie for a slice of the recycling market.
Elon Musk
Tesla Germany reports 4,935 units sold in Q1 2025

Tesla Germany sold 4,935 units in Q1 2025, reflecting a decline amid a broader electric vehicle uptick.
The German road traffic agency KBA reported Tesla’s March sales in Germany dropped 42.5% to 2,229 units year-over-year, with first-quarter figures plummeting 62.2% from 2024. KBA also noted a 35.3% rise in newly registered electric vehicles for March, highlighting a contrasting market trend.
According to its Q1 2025 report, Tesla’s global quarterly deliveries were 336,681 vehicles, a slight dip compared to Q1 2024’s 369,783 deliveries. Reuters attributed the dip to stiffer competition, factory retooling for the refreshed Model Y, and backlash tied to CEO Elon Musk’s political moves.
German Economy Minister Robert Habeck weighed in on Thursday, stating, “The perception is that the passion for Tesla has suffered greatly in recent weeks and months, which is perhaps a good opportunity for the automotive industry in Germany.”
Tesla Germany’s 62.2% drop in Q1 2025 sales might be tied more to Model Y production shifts rather than Musk’s image or brand perception.
Tesla saw a 156.87% jump in China in the third month of the first quarter, compared to February, when the company sold 30,688 units. Tesla China’s March wholesale figures hit 78,828 units, per CPCA data. Tesla started delivering its new Model Y vehicles in China last month.
Globally, Tesla produced 362,615 vehicles in Q1, including 345,454 Model 3 and Model Y units. However, it lost weeks of output during Model Y line upgrades at its Texas, Fremont, Shanghai, and Berlin factories.
Tesla noted that Model Y refresh production is scaling up in its Q1 delivery report. While Tesla might have a few challenges ahead, the company still has strong foundations for a stable future in the long term.
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Op-Ed: How the new Tesla Model Y became China’s best-selling car in March
With just a few weeks’ worth of local deliveries, the new Tesla Model Y saw enough consumer interest in China to make it a best-seller.

Recent news from China has revealed that the country’s best-selling car in March 2025 is also one of its newest. Despite deliveries in the country being ongoing for only a few weeks, the new Tesla Model Y ended March as the country’s best-selling vehicle.
In this article, we explore how the new Model Y was able to accomplish this feat despite its recent deliveries, as well as the reasons why the all-electric crossover was able to beat rivals from Chinese New Energy Vehicle (NEV) giant BYD.
The New Model Y’s Domination
Rankings from China last month indicate that Tesla was able to sell 43,370 new Model Y units in March 2025. This was despite the revamped all-electric crossover only starting domestic deliveries in late February. This means with just a few weeks’ worth of local deliveries, the new Model Y saw enough consumer interest to make it a best-seller.
A BYD Comparison
Skeptics might find it difficult to rationalize how a vehicle that sold 43,370 units became China’s best-selling car in March, especially since local automaker BYD sold far more new energy vehicles during the month. As per BYD, it sold a total of 395,091 units in March, though this is comprised of battery electric vehicles, plug-in hybrids, and commercial vehicles across its multiple brands.
As noted in a CNEV Post report, BYD’s top seller in March 2025 was its Song family of vehicles, which sold 96,087 units. The Song family is comprised of the Song L EV, Song L DM-i, and Song Pro DM-i of the Dynasty series, as well as the Song Plus EV and Song Plus DM-i of the Ocean series.
BYD’s second-best-selling vehicle is the Qin family, which sold 58,383 units in March. The Qin family includes the Qin Plus DM-i, Qin Plus EV, and the Qin L EV. In third place is the Seal family, which sold 44,563 units during the month. The BYD Seal family is comprised of vehicles like the Seal sedan, Seal 06 GT hatchback, Seal 07 DM-i, Seal 06 DM-i, and Seal U SUV.
Advantages of a Limited Lineup
Looking at BYD’s results in March, it is difficult not to be impressed by the Chinese automaker’s numbers. However, due to BYD’s immense vehicle lineup, such as the Song family comprising several models, each model’s raw sales numbers were lower than the new Model Y’s 43,370 units in March.
This is quite the advantage for Tesla’s lineup. Since Gigafactory Shanghai only produces the Model 3 and Model Y, the domestic sales of both vehicles are very concentrated. This may also be one of the reasons why the new Model Y’s sales in March proved enough to make the vehicle into China’s best-selling car, even if Giga Shanghai is still ramping its production of the all-electric crossover.
Just a Good Car
While Elon Musk’s political nature and close ties with U.S. President Donald Trump may play some role in Tesla’s sales in the United States and Europe, his political views may not be a factor at all for a good number of car buyers in China, which also happens to be the world’s largest electric vehicle market.
In China, at least, it appears that the Model Y is a popular choice for consumers simply because it is a vehicle that presents excellent value for its price. That’s a difficult combination to beat, even for BYD, which is currently China’s undisputed king of the NEV market.
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