AsianFin—Baidu, China's major Internet search company, reached an agreement with Tesla to grant the car company access to its mapping license for data collection on China's public roads, Reuters reported, citing two people familiar with the matter said.

The deal clears a final regulatory hurdle for Tesla's driver assistance system, which Tesla calls Full Self Driving (FSD), to be offered in China, the sources said.

As part of the deal, Baidu would also provide its lane-level navigation system to Tesla, they said.