Musk supports steady Sino-US ties

Tesla chief briefed on benefits of China’s opening-up, modernization in meeting with ministers

State Councilor and Foreign Minister Qin Gang drew an analogy between driving a vehicle and SinoUS ties during his meeting on May 30 with Elon Musk, the visiting CEO of new energy vehicle giant Tesla.

For the successful development of China-US ties, Qin told Musk in Beijing that the wheel should be steered properly to follow the path of mutual respect, peaceful coexistence and winwin cooperation outlined by President Xi Jinping.

The driver should step on the brake pedal to avoid the risks of dangerous driving and use the accelerator to advance mutually beneficial collaboration, he said.

Noting that China’s growth offers opportunities to the whole world, Qin said that a “sound, steady and constructive China-US relationship” will not only benefit the two countries but also advance the interests of nations across the globe.

Musk said the Chinese people are intelligent and diligent, and the development of China has been natural. He said the interests of the United States and China are highly intertwined, and his company does not support economic decoupling or moves that disrupt production and supply chains.

Tesla is willing to further expand its business in China and share the opportunities brought by China’s development, he added.

Meeting with Commerce Minister Wang Wentao on May 31, Musk said he agreed with the idea that Sino-US relations are not a zero-sum game, and expressed his confidence in the Chinese market and also his willingness to continue deepening mutually beneficial cooperation.

He also thanked China for supporting Tesla’s Shanghai factory during the pandemic, and praised the vitality and potential of the country’s development.

China’s efforts to promote Chinesestyle modernization and a higher level of opening-up will create more opportunities for multinational companies including Tesla. Wang made the remarks when meeting with Musk in Beijing, according to a Commerce Ministry statement.

During the meeting, Wang said the deep economic integration between China and the US requires both sides to strengthen economic and trade dialogue and cooperation under the principles of mutual respect, peaceful coexistence and win-win cooperation.

China will continue to provide efficient and pragmatic services and support the long-term and stable development of foreign-funded enterprises in the country, he added.

Also on May 31, Musk met with Jin Zhuanglong, minister of industry and information technology. They exchanged views on the development of new energy vehicles and intelligent connected vehicles.

Musk is the latest head of a US company to visit China since the country optimized its COVID-19 policy this year. Apple’s Tim Cook visited in March, while JP Morgan’s Jamie Dimon and Starbucks’ Laxman Narasimhan are also in China this week.

The frequent visits of US executives speak volumes about the importance of China to their businesses and it is impossible for them to delink from the country, experts said.

Pan Helin, co-director of the Digital Economy and Financial Innovation Research Center at Zhejiang University’s International Business School, said that for many foreign companies China is a big market, a key part of their supply chains and a major source of innovation.

“Any attempt to decouple from China is infeasible,” Pan said.

Denis Simon, president of the Alliance of Global Talent Organizations, said decoupling is a “wrongheaded idea” and a big mistake. It would mean others are unable to benefit from China’s achievements in solving problems that are of concern to people around the world, he said.

China is the world’s largest market for new energy vehicles. The China Passenger Car Association forecast that China’s NEV sales will reach 9 million units this year, up 35 percent from 2022.

The annual trade between the world’s top two economies was close to $760 billion last year, according to data from China’s General Administration of Customs and the Foreign Ministry.

Observers noted that Musk is visiting China at a time when Sino-US bilateral ties have suffered political tensions, and senior diplomatic, economic and trade officials have made contact or held meetings.

Diao Daming, an associate professor at the School of International Studies, Renmin University of China, said these positive developments send a signal of stability to the world.

“China has always believed that Sino-US cooperation is mutually beneficial, and cooperation is the only right choice,” he added.

During a regular news briefing on May 30, Foreign Ministry spokeswoman Mao Ning said: “China always welcomes business figures from all countries, including Mr Musk, to visit China for a deeper understanding of the country and mutually beneficial cooperation.”

China is firmly committed to advancing its high-level opening-up and fostering a market-oriented, lawbased and internationalized business environment, she said.