Elon Musk Makes Trip to China to Discuss Tesla Plans Following Cancellation of India Visit
Elon Musk apparently met with China’s premier, Li Qiang, and Ren Hongbin, who heads the China Council for the Promotion of International Trade.
Tesla CEO Elon Musk traveled to Beijing over the weekend, reportedly to engage in discussions with senior government officials regarding the rollout of his full self-driving software (FSD) and securing permission to transfer data overseas. This visit came shortly after canceling a planned trip to India.
In 2018, the automaker giant reached an agreement with Chinese authorities to construct a plant in Shanghai, marking its first facility outside the United States, which commenced operations in 2019. Despite being launched four years ago, the FSD has not been released in the Chinese market yet.
“Honoured to meet with Premier Li Qiang. We have known each other now for many years, since early Shanghai days,” Mr. Musk said, accompanied by a photo of the two together.
In a prior X post, Mr. Musk hinted that Tesla’s FSD might soon be accessible to Chinese customers. However, he did not provide further details at the time.
During the meeting with Mr. Musk, Chinese state broadcaster CCTV reported that Mr. Li assured China’s commitment to assisting foreign companies in establishing a stronger presence by enhancing the business environment for them.
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“China’s very large-scale market will always be open to foreign-funded firms,” stated the second highest official in China. “China will stick to its word and will continue working hard to expand market access and strengthen service guarantees.”
However, many China observers, including the U.S. ambassador to China, have expressed skepticism toward the CCP’s goal due to its conflicting policies and internal factional battles.
“Some senior Chinese government officials say private-sector investment is welcome in China, your investment will be protected. But then these companies are also hearing a different message,” U.S. ambassador to China Nicholas Burns told Bloomberg on March 14, citing China’s sweeping new counter-espionage law that has been seen as a deterrent by investors.
“I think the voices that they’re hearing from the government here in China about national security—they’re the strongest and loudest voices right now,” he said.
State media also revealed Mr. Musk met with Ren Hongbin, who heads the China Council for the Promotion of International Trade and is the organizer of the Beijing auto show. Mr. Musk’s unannounced visit coincides with the Beijing auto show, which opened last week. Tesla did not have a booth at the auto show and last attended in 2021.
“It is good to see electric vehicles making progress in China. All cars will be electric in the future,” Mr. Musk said in a video posted by state media.
Mr. Musk’s surprise trip came just over a week after he canceled a meeting with Indian Prime Minister Narendra Modi, citing “very heavy Tesla obligations” as the reason.
Tesla has been working diligently to obtain approval for its FSD systems in new markets, facing challenges along the way. Previously, its vehicles were prohibited from entering China’s military compounds due to the cameras used in its FSD systems.
Advanced driver assistance systems (ADAS) are becoming increasingly prevalent in China’s EV market. Many local manufacturers, such as Huawei Technologies Co. and Xiaomi Corp., already utilize similar technology.
According to Mr. Musk, Tesla is determined to proceed with its plans to introduce FSD systems to customers worldwide, including in China. During Tesla’s April 23 earnings call, Mr. Musk emphasized the company’s intention to sell its products wherever regulatory approval is granted.
“We plan on, with the approval of the regulators, releasing it as a supervised autonomy system in any market where we can get regulatory approval for that, which we think includes China,” he stated.
