China's capital city is opening a robotaxi route to a major train station, startup Pony.ai says

BEIJING — In three years, China's capital city of Beijing has taken rapid steps toward letting robotaxis operate closer to the city center.

This month, the city began allowing tests of robotaxis with human staff inside to run the 40-minute route between a major high-speed train station and a suburban area to its south.

That route between Beijing South Railway Station and the suburb of Yizhuang is set to open a public-facing robotaxi service in the next week or two, Ning Zhang, vice president at Pony.ai and head of its Beijing research and development center, told CNBC in an exclusive interview Thursday. He cited pending government permits.

By the end of this year or early next year, Zhang expects the train station route will be fully driverless, with no human staff inside.

The latest route marks a significant expansion of robotaxi operation from the outskirts of Beijing toward the city center. The capital is laid out with highways, nicknamed "rings," in concentric circles around the city center.

The Yizhuang suburb is outside the fifth ring road. Beijing South Railway Station is inside the third ring road.

Zhang said there is a perception that Beijing would not allow robotaxis past the fifth ring road.

"Now, we are breaking that boundary," he said.

"This is a big progress, and because Beijing is willing to make so great a move, it's going to be a very good example, showcase for the entire China," he said.

In November 2021, Beijing city allowed robotaxi operators Pony.ai and Baidu's Apollo Go to collect fares for public-facing rides in Yizhuang, a first step toward eliminating the cost of the driver.

Less than two years later, Beijing authorities allowed the robotaxi companies to remove human staff from some public-facing cars and