Tesla CEO Elon Musk attends the opening ceremony of Tesla’s China-made Model Y project in Shanghai, east China, January 7, 2020.
Ding Ting | Xinhua News Agency | Getty Images
Elon Musk met with Chinese Foreign Minister Qin Gang on Tuesday, as Beijing works to show it is open to foreign business and tesla The CEO reportedly hinted at further expansion in China.
Qin, who until recently was China’s ambassador to the United States, said “Chinese-style modernization” characterized by a large population and “common prosperity” would create “unprecedented growth potential and market demand,” according to a statement from China’s foreign ministry.
He added that China’s electric vehicle market has “broad prospects for development” and that China will continue to expand its opening up to create a better market-oriented and law-based business environment for foreign companies such as Tesla.
Musk praised the Chinese people and China’s achievements, according to a statement from China’s foreign ministry. The statement stated that Tesla opposes “decoupling” and is willing to continue to expand its business in China.
Tesla did not immediately respond to CNBC’s request to verify the Chinese Foreign Ministry’s statement.
The meeting between Musk and Qin comes amid ongoing tensions between the U.S. and China over technology. Last year, Washington imposed sweeping restrictions on exports of key chips and semiconductor equipment to China, a move that could thwart Beijing’s efforts to boost domestic industry in key technology areas.
This month, Chinese regulators banned Chinese operators of “critical information infrastructure” from buying products from U.S. chipmaker Micron.
China’s foreign minister said on Tuesday that a “constructive” U.S.-China relationship was in the interests of both countries and the world.
competition
On Tesla’s side, Musk’s visit on Tuesday comes as the company faces heightened competition and a price war in China.Tesla has Adjusting the prices of its cars in China amid a tougher macroeconomic environment in the world’s second-largest economy.
The Chinese foreign ministry statement did not detail what was discussed between Musk and Qin. China is Tesla’s second-largest market, and Musk has sought to maintain good relations with Beijing. The billionaire has pledged to invest in and praised the country’s technology for years.
“China, in my opinion, is shocking,” Musk said in 2020.
Tesla’s largest car production plant is in the Chinese megacity of Shanghai, and the company announced in April plans to build another factory there to produce its Megapack energy storage system.