During a recent visit to Beijing, Tesla CEO Elon Musk met with Chinese Prime Minister Li Qiang. The meeting signified a new phase of dialogue and collaboration between Tesla and China, the world’s second largest economy. Tesla’s largest manufacturing plant outside the United States is located in Shanghai, where half of the company’s vehicles are produced.
This meeting came at a time when Tesla has been facing tough competition from Chinese electric vehicle brands, leading to a decline in earnings. In response, the company recently announced layoffs of more than 10% of its workforce to streamline operations for future growth. Despite these challenges, Tesla reached a significant deal with Baidu to use its mapping license for data collection on Chinese roads, paving the way for the rollout of self-driving software in the country.
During his visit to China, Elon Musk emphasized the importance of continued cooperation between China and the United States. He cited Tesla’s operations in the country as a successful example of mutual collaboration. Chinese Prime Minister Li agreed, highlighting the importance of keeping market access open to foreign-funded firms like Tesla. The hope is that this “win-win” cooperation will foster innovation and growth in the electric vehicle industry.
