China’s Market Regulator to Create NEV Fire Reporting System for Firms

These regulations address a growing trust crisis between consumers and automakers, sparked by repeated NEV safety issues.

On October 17, a relevant official from China’s State Administration for Market Regulation shared a set of data at the 2025 World Intelligent Vehicle Congress:

By September 2025, China had implemented a total of 3,230 vehicle recalls, involving 120 million vehicles. Among these, 652 recalls affecting 63.7886 million vehicles were initiated due to investigations by the market regulation authority, accounting for 53.18% of all recalled vehicles.

The official revealed that recently, they have been jointly researching and drafting a notice with the Ministry of Industry and Information Technology to strengthen the supervision and management of production consistency for intelligent connected and new energy vehicle recalls, and to standardize promotional practices. This notice will further regulate issues such as false and exaggerated promotion, as well as irrational competition.

Simultaneously, the recall supervision system will be innovated by establishing and promoting the implementation of an enterprise reporting mechanism for new energy vehicle fire incidents. Additionally, a reporting system for remote vehicle upgrades will be established, and pilot programs for automotive safety sandbox supervision will be launched.

The promotion of these new regulations comes against the backdrop of a trust crisis between users and automakers, fueled by the frequent occurrence of new energy vehicle safety issues.

Taking the recent Xiaomi SU7 incident as an example:

In the early hours of October 13, 2025, an accident occurred on the Renhou Shigao section of Tianfu Avenue in Chengdu, Sichuan. A Xiaomi SU7, suspected of experiencing an anomaly while waiting for a traffic light, suddenly swerved out of control upon starting, then sped excessively out of control. It first collided with a green belt, then rolled over into the oncoming lane and caught fire.

The accident ultimately resulted in the death of the driver. According to the police bulletin, the accident was caused by the driver operating the vehicle under the influence of alcohol.

Even though the accident itself was not related to vehicle quality, online discussions persist regarding issues such as “the SU7’s doors being unable to open after the collision” and “the vehicle rapidly catching fire after impact.” Concurrently, many netizens believe that the automaker should simultaneously release the backend data of the accident vehicle to dispel public doubts and restore trust between users and the company.

From mandatory reporting to safety sandboxes, a series of innovative regulatory measures will become crucial steps in building a safety defense line for new energy vehicles.