Elon Musk landed in Beijing in what is the billionaire’s first visit to China in three years, and met with Foreign Minister Qin Gang.
It was announced that he expressed his readiness to develop the electric vehicle manufacturer’s business in China.
Musk stated that Tesla Inc. is prepared to continue expanding in the country, and he and Qin discussed the advantages of maintaining relations between China and the United States, according to a statement issued by the government late Tuesday evening. Qin told Musk that China is striving to create a favorable business environment for foreign companies, as stated in the announcement.
Musk is also expected to visit the Tesla factory in Shanghai, according to people familiar with the matter who requested anonymity as the information is confidential. According to one source, Tesla’s CEO may also meet with Premier Li Xian to discuss autonomous driving technology that Tesla aims to implement in China.
Earlier on Tuesday, Mao Ning, the spokesperson for the Ministry of Foreign Affairs, welcomed Musk and other business leaders, stating, “We would like foreign investors to work in China, explore the Chinese market, and share the dividends of China’s development.”
Tesla has not immediately responded to a request for comments. Representatives from the Shanghai government’s press office and the Information Office of the State Council of China also did not immediately respond to requests for comments.
Earlier this month, Bloomberg reported that Tesla is nearing the final stage before starting trial production of its updated Model 3 sedan in Shanghai, which Musk believes will compete more effectively with Chinese rivals. The updated version is slightly longer than its predecessor and features a sportier design interior.
The Tesla Shanghai factory accounted for over half of the company’s global production in 2022, and now the facility can produce up to 1.1 million vehicles per year. Deliveries from the Shanghai factory experienced a decline in April, indicating that consumers may be seeking other electric vehicle options as manufacturers across the country lower prices.
Last year, the American automaker accounted for nearly a quarter of the total automobile production volume in Shanghai, and earlier this month, local authorities pledged to continue strengthening ties with the company through autonomous driving and robotic modules.
