Elon Musk kicks off China visit, Tesla expansion in focus
Tesla CEO Elon Musk has arrived in China for a high-stakes visit, marking his return to the automaker’s largest production hub after three years. Musk met with China’s foreign minister, Qin Gang, who assured him that China was committed to improving the business environment for investors, including Tesla. Qin used a driving metaphor to describe China-US relations, emphasizing the importance of skillfully using the accelerator to promote mutually beneficial cooperation. Musk expressed his willingness to expand business in China and opposed a decoupling of the US and China economies, describing the world’s two largest economies as “conjoined twins.” Tesla did not respond to a request for comment on Musk’s itinerary or his meeting with Qin. During his visit, Musk is expected to meet with other senior Chinese officials and visit the company’s Shanghai plant. Tesla investors have expressed concerns about increasing competition from Chinese-made electric vehicles and uncertainties about expansion plans for the Shanghai plant, its largest production hub.
FAQs
Why is Elon Musk visiting China?
Elon Musk is visiting China to meet with Chinese officials and visit Tesla’s Shanghai plant. China is Tesla’s second-largest market after the United States.
What did China’s foreign minister tell Elon Musk?
China’s foreign minister, Qin Gang, assured Elon Musk that China was committed to improving the business environment for investors, including Tesla. He used a driving metaphor to describe China-US relations, emphasizing the importance of skillfully using the accelerator to promote mutually beneficial cooperation.
What did Elon Musk say about US-China relations?
Elon Musk opposed a decoupling of the US and China economies, describing the world’s two largest economies as “conjoined twins.” He expressed his willingness to expand business in China.
What are concerns about Tesla’s business in China?
Tesla investors have expressed concerns about increasing competition from Chinese-made electric vehicles and uncertainties about expansion plans for the Shanghai plant, its largest production hub. Regulators’ clearance of the release of Tesla’s advanced driver assistance features available in the US as part of “Full Self Driving” software it sells for $15,000 per vehicle is also a concern.
China visit of Elon Musk initiates, with emphasis on Tesla’s expansion
Tesla CEO Elon Musk has begun a high-stakes trip to China with a meeting with the country’s foreign minister in Beijing, marking his return to the electric carmaker’s largest production hub after a three-year absence. The visit is the latest by a top US CEO to China since the country reopened its borders and reversed its zero-COVID policy in December. Apple’s Tim Cook visited in March, and Jamie Dimon of JP Morgan and Starbucks’ Laxman Narasimhan are also in the country this week. Musk met with Chinese foreign minister Qin Gang shortly after landing in Beijing. Qin assured Musk that China was committed to improving its business environment for investors and used an elaborate driving metaphor to describe China-US relations. Musk responded saying he was willing to expand business in China and opposed a decoupling of the US and China economies.
Tesla’s Shanghai factory, its largest production hub, faces intensifying competition from Chinese-made electric vehicles, and there is some uncertainty about expansion plans for the plant. Tesla investors have also questioned whether China regulators will approve the release of the company’s advanced driver assistance features available in the United States. Meanwhile, Chinese researchers have taken an interest in Musk’s space company SpaceX and its Starlink satellite network as potentially threatening technology following Russia’s invasion of Ukraine.