Elon Musk’s Dance and Tesla’s Chinese Connection: A Complicated Relationship
When Elon Musk unveiled the first Chinese-made Teslas in Shanghai in 2020, he did more than just showcase the new vehicles. He went off script, started dancing, and even engaged in a partial striptease by flinging his jacket across the stage. It was a moment of celebration for Musk, who had bet on China when Tesla was on the brink of failure.
The relationship between Musk and China has been symbiotic, with both parties benefiting from each other. Musk secured concessions from China that were rarely offered to foreign businesspeople, and in return, Tesla’s factory in Shanghai became a flagship, accounting for over half of Tesla’s global deliveries and the bulk of its profits.
However, Tesla is now facing challenges in China as local competitors are catching up and threatening its dominance in the market. Musk’s ties to Beijing are drawing scrutiny from U.S. policymakers, who are concerned about his deep financial exposure to China.
One of the key factors in Tesla’s success in China was its lobbying efforts to change national emissions regulations, which directly benefited the company and brought in hundreds of millions of dollars in profits. Musk also gained unusual access to senior Chinese leaders, including the premier of Shanghai, Li Qiang.
Despite the success Tesla has seen in China, there are concerns about the working conditions at the Shanghai plant. Reports of long hours and safety gaps have raised red flags, especially after a Tesla worker was crushed to death last year.
As Tesla faces increasing competition in China and scrutiny from U.S. lawmakers, the future of the company’s relationship with China remains uncertain. Musk’s ties to the country, both through Tesla and his other endeavors like SpaceX and X, are under the microscope, raising questions about how he balances his business interests with geopolitical considerations.
Overall, the story of Tesla’s Chinese connection is a complex one, with implications for both the company and its founder. As Musk navigates the challenges and opportunities in the Chinese market, the world watches to see how this high-stakes relationship will unfold.
