Pony AI and Toyota begin mass production of robotaxis as China accelerates autonomous driving plans

China’s autonomous driving sector has taken a significant step forward as Pony AI and Toyota begin mass production of robotaxis designed for large scale commercial use. The move signals growing confidence in driverless technology at a time when Chinese cities are pushing to turn years of testing into everyday transport services.
Guangzhou based Pony AI said it will produce 1,000 robotaxis this year under its collaboration with Toyota. These vehicles are expected to be deployed across leading mainland cities, reinforcing Pony AI’s goal of operating a global robotaxi fleet exceeding 3,000 units by the end of 2026, spanning both domestic and overseas markets.
The company described the rollout as a transition from pilot programs to scaled manufacturing and real world deployment. According to Pony AI, the partnership combines its autonomous driving software and operational experience with Toyota’s vehicle engineering and manufacturing expertise, allowing both sides to accelerate commercialization while maintaining safety and reliability standards.
Pony AI is already one of a small group of companies approved by Chinese regulators to operate fully driverless taxis on designated roads. Its services have been tested in major urban centers including Beijing and Shanghai, where local governments are using limited zones to evaluate how autonomous vehicles interact with traffic, pedestrians, and public transport systems.
The decision to move into mass production reflects broader policy momentum in China. Authorities have identified intelligent connected vehicles as a strategic industry, encouraging automakers and technology firms to integrate artificial intelligence, sensors, and advanced computing into next generation transport. Robotaxis are viewed not only as a commercial opportunity but also as a way to improve road safety, reduce congestion, and address labor shortages in urban mobility.
Industry analysts say China’s approach differs from that of some Western markets, where regulatory uncertainty and high operating costs have slowed deployment. In China, tightly coordinated trials and clear approval pathways have allowed a small number of firms to move faster toward commercialization, especially in cities willing to support infrastructure upgrades and data sharing.
For Toyota, the collaboration offers a pathway into autonomous mobility services without developing every component in house. The automaker has increasingly positioned itself as a mobility company rather than just a vehicle manufacturer, investing in software driven services that could complement its traditional car sales.
Challenges remain, including the high cost of sensors, the need for continuous software updates, and public trust in driverless systems. However, the start of mass production marks a shift in tone for the sector, from experimentation to execution.
As more robotaxis begin operating on city streets, China is positioning itself as one of the most active testing grounds for autonomous transport, with Pony AI and Toyota aiming to turn technological promise into a scalable commercial reality.

