Tesla boss Elon Musk met with Chinese Foreign Minister Qin Gang in Beijing on May 30 to discuss the automaker’s expansion plans in the country, multiple reports imply.
Notably, this unannounced visit marks the billionaire’s return to China after three years due to the adverse effects of the COVID-19 pandemic.
Meeting highlights
Reuters reported that Foreign Minister Qin assured the Tesla CEO that the country remains “committed” to offering global automakers a more investor-friendly business environment, including America’s leading automaker Tesla.
“China will continue to unswervingly promote a high level of opening up to the outside world and is committed to creating a better market-oriented, rule of law and internationalised business environment for enterprises from all countries, including Tesla.”
Chinese Foreign Minister Qin Gang
Qin further noted that the Chinese NEV market has wide prospects, noting that “Chinese-style modernization” will establish an “unprecedented growth potential and market demand.”
The Foreign Minister’s approach to describing the relationship between China and the United States is also remarkable.
“We must step on the brake in time, avoid dangerous driving and be skillful at using the accelerator to promote mutually beneficial cooperation.”
Chinese Foreign Minister Qin Gang
On the other hand, Tesla CEO Elon Musk reportedly told the Foreign Minister that the automaker has plans to expand its Chinese business. Apart from that, he also opposed a “decoupling” of the world’s two biggest economies, even calling them “conjoined twins.”
Apart from meeting senior Chinese officials, CEO Musk will also visit the Gigafactory Shanghai, the automaker’s largest production center.
Today, CEO Musk reportedly visited China’s Commerce and Industry Ministry, which regulates the overall auto industry.
Competition concerns
CEO Musk’s visit to the world’s largest auto industry occurs as the automaker faces increasing competition in the country.
As previous reports stated, Tesla has been employing price cuts in its electric car offerings amid a more challenging macroeconomic environment in China.
Nonetheless, China remains the American EV giant’s second-largest market. Furthermore, its largest EV production plant is in Shanghai, with plans to establish a new Megapack factory in the mega-city.
See Also:
- Tesla CEO Elon Musk to visit China to meet with premier, per report
- Tesla China will increase Giga Shanghai production in response to increasing demand
- Tesla China readying huge fleets of Model 3 and Model Y to export
- Report: Tesla China Exec Tom Zhu named as Elon Musk’s successor
- Tesla reportedly appoints China chief as highest-profile executive after Elon Musk
Tesla shares surge 5% Tuesday following the meeting between the CEO Musk and the Chinese Foreign Minister, CNBC reports. It was trading at $202.93 as of 10 a.m. ET, indicating a 2.6% increase for the session.
