2023-05-30 18:16:13
China is committed “to creating a more market-oriented, rule-of-law and internationalized economic environment” for foreign businesses, Qin told the entrepreneur, according to the statement.
According to Chinese diplomacy, Elon Musk told Mr. Qin when they met on Tuesday that Tesla “wants to continue to develop its business in China”.
Mr. Musk is making his first trip to China since the start of the Covid-19 pandemic.
Visits from international cadres who promote “better understanding of China” and “cooperation resulting in mutual benefits” are welcome, Mao Ning, a spokesperson for the Chinese Foreign Ministry, said on Tuesday.
Tesla announced in April that it would build a new battery factory in Shanghai.
The plant will have an initial capacity of 10,000 Megapack batteries per year and is expected to start production “in the second quarter of 2024”, according to the Xinhua news agency.
The site will become Tesla’s second factory in China’s eastern financial hub behind its massive mega-factory, which began work in 2019.
Relations between the billionaire and Beijing have raised questions in Washington. US President Joe Biden said in November that the Tesla boss’s ties to foreign countries “deserve” consideration.
“Tesla continues to focus aggressively on the expansion” of its presence in China “which remains the goose that lays the golden egg,” analysts at investment firm Wedbush Securities said in a note.
Sales of electric and hybrid cars doubled in 2022 and represent more than a quarter of vehicles sold, a level never seen, according to the Chinese Federation of Individual Car Manufacturers (CPCA).
Government support for electric vehicles coupled with growing consumer interest has enabled Chinese companies to dominate their domestic market – the largest auto market in the world.
While Tesla remains the world’s number one seller of electric cars, the popularity of Chinese brands has surged in recent years.
The Chinese car manufacturer BYD, one of the most prominent brands in its country on the electric niche, announced at the end of March the fivefold increase in its net profit during the year 2022.
Tesla saw its net profit drop significantly in the first quarter despite a significant increase in sales, due to a drop in prices.
France on Tuesday inaugurated the first factory producing batteries for electric cars on its soil in Billy-Berclau (Pas-de-Calais) in the north of the country, a key step towards a profound industrial metamorphosis aimed at catching up with Chinese manufacturers. .
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