Volvo is planning to launch a self-driving experiment in China involving up to 100 cars.
The BBC quotes a statement which says that local drivers there will test cars on public roads in "everyday conditions".
According to a report from the Reuters news agency, Volvo, which is owned by a Chinese firm Zhejiang Geely Holding Group Co, is said to be deciding which city to use for the trials.
"Autonomous driving can make a significant contribution to road safety," said Hakan Samuelsson, president and chief executive of Volvo.
"The sooner [autonomous] cars are on the roads, the sooner lives will start being saved."
"I think people probably don't realise quite how much China's putting into advanced technology in cars," Prof David Bailey of Aston Business School told the BBC.
"Google has had a far smaller number of cars in tests as far as I can work out, so it is significant."
