As a will for the importance of China market, a new version of Tesla’s model Y was started here before the US in January
To keep their business strong, experts say, Kasturi needs support from the Chinese government.
“This is difficult for most people who do not live inside China to understand the power of regulators,” Duna said. “You apply for a license in the United States or Europe, eventually you are going to get a permit or license. In China, this is a major conversation. ,
As Tesla faced Chinese EV manufacturers intensifying competition, it rolled out a software update last month, which closely mimics its full self-driving facilities in the US.
Tesla’s FSD software has not yet been approved in China.
This is why it is important for Musk to live in a good grace of Beijing, especially when their companies face backlash in America, Europe and other places for the Trump administration.
“Beijing can decide to ban Tesla. They can take Tesla domestically for all types of investigations, ”said Stone Fish. “There is almost no limit to what they can decide to do.”
This can explain why Musk has also been vocal in its opinion on politics in countries such as Germany, Canada and Brazil, it has been relatively calm about what is going on in Beijing.
“When it comes to China, Musk is very incredibly gentle. It’s amazing, “Stone Fish said.
He said, “He is much weaker than the Chinese entrepreneurs on his reluctance to criticize China or to say anything, which can be considered negative towards the party,” he said.
Musk has initially opposed the American tariff on Chinese EV after supporting him.
The President Joe Biden told CNBC at the Paris Tech Conference in May after the announcement of 100% tariff on Chinese -made EV imports, “Neither Tesla nor I told for these tariffs,” he told the CNBC at the Paris Tech Conference in May. (US EV tariffs do not apply to Tesla because in China it is not sold in America)
Musk has also made a favorable comment on Taiwan about China’s position, which is an self-governing island democracy, which Beijing claims as its territory and states that it is firm to gain control even when it means to use force.
“There is some imperative for the situation,” he told CNBC in 2023.
Such comments have been praised by Chinese authorities and condemned by Taiwan, which dismisses the claims of Beijing’s sovereignty.
Some people believe that Musk’s hot relationship with the Chinese government may be a boon for American China relations.
“Elon Musk can play some positive, creative, even during this difficult time to add China and America during this difficult time,” said Vang Yiviei, director of the International Affairs Institute at Renmin University of China in Beijing, to deal with Trump, even to combat Trump during this difficult time. ”
Others see a more possible risk than the reward, including American MPs. Last month, China was warned by Republican and Democratic leaders of the House Selection Committee that Beijing could try to use musk to lead Trump to more favorable policies.
“I am confident that CCP will try any opportunity and take advantage,” Rep. John Molenaar, R-Mich., The chairman of the committee, said at a Brookings Institution event in Washington last month.
“Are people going in search of it? And make sure that its lane is what is not affecting China’s policy? I believe this is the case, “he said.
Representative Raja Krishnamurthy, D-Il., Ranking member of the committee, stated that Chinese authorities saw him as a property in any kind of conversation, “A way to see the Trump administration officials as a less friendly for China, such as State Secretary Marco Rubio and National Security Advisor Mike Voltz.
Krishnamurthy said in the same incident, “I hope that the President is going to listen to everyone very carefully.”
Even Musk’s Chinese employees have doubts about the growing role of Musk in Washington.
“As a businessman, he should focus on business,” said a Tesla factory activist in Shanghai who refused to be nominated for fear of vengeance. “After all, government affairs should be controlled by professionals.”
Yunis Yun reported from Shanghai, and Jennifer Jet reported from Hong Kong.
