The Mask Between Admiration and Distrust in China

Elon Musk is an object of worship and, at times, contempt in China.

The Tesla boss has been simultaneously celebrated as a visionary and criticized by Chinese regulators and the public for allegedly mishandling customer complaints.

In addition, the dominance of SpaceX and its Starlink satellite unit has drawn the ire of China's People's Liberation Army. And as the gap between Tesla and its Chinese rivals in the electric vehicle field narrows, Musk risks losing prestige and influence, Reuters writes.

Musk is part of a group of CEOs and senior executives who traveled to Beijing with U.S. President Donald Trump for a summit with Xi Jinping, along with Apple's Tim Cook and Nvidia's Jensen Huang. The delegation is largely made up of executives seeking to resolve issues with Beijing, and the world's richest man is well-versed in the ups and downs of doing business with China, according to Reuters.

Nearly a year after his tumultuous departure from the Trump administration, Musk appeared alongside Trump in Beijing as a sort of ambassador for American business in China. Although the two have since parted ways, Musk stood behind members of Trump's cabinet in the Great Hall of the People along with 13 other CEOs as the US president shook hands with Xi.

Speaking to reporters after the welcoming ceremony, Musk said yesterday that he wants to achieve "a lot of good things" in China.

Xiaomi CEO Lei Jun, a longtime Musk admirer and one of the first Model S owners in China, who himself enjoys almost cult status in the country, was seen taking a selfie with the Tesla founder before the start of a state banquet at Beijing's Great Hall of the People.

Musk, seemingly annoyed by Lei's request for a selfie, raised his eyebrows and let out a loud sigh before the photo was taken. The moment, captured on camera, went viral in China, with many social media users joking that Lei had been humiliated by his hero.

Musk also brought his six-year-old son X Æ A-12 to the Chinese capital, who had previously often accompanied his father during visits to the Oval Office.

Although Tesla faces strong pressure from domestic electric vehicle makers, both in technology and pricing, the company - like Musk - still has a lot of influence in China, Reuters reports. That's partly because Musk's interests align with Beijing's, said Kyle Chen, a Chinese technology expert at the Brookings Institution.

“When you look at Beijing’s technology priorities, many of them align almost perfectly with Elon Musk’s priorities,” Chen said, pointing to electric vehicles, autonomous vehicles, artificial intelligence and humanoid robots, as well as brain-computer connectivity technologies and satellite systems.

Tesla's autonomous driving technology is still considered the industry standard in China, Chen said.

Chinese electric vehicle maker Chery is drawing inspiration from Tesla and Toyota, company President Jin Tongjue told Reuters in an interview last month. Chery, which is now gaining ground in Europe, is seeking to combine Tesla's focus on innovation with Toyota's obsession with quality, Jin said.

Tesla became the first foreign carmaker to be allowed to set up car production in China without a local partner in 2018. The company sold about 626.000 cars in China last year, making it the country's fifth-largest automaker by sales of electric vehicles and plug-in hybrids, according to the China Passenger Car Association. China accounted for about a fifth of Tesla's revenue last year, according to the company.

Tesla's focus on developing cars based on battery performance and software "is definitely one of the biggest inspirations for many Chinese automakers," said analyst Felipe Munjos.

But China's military and diplomats have been sharply critical of other parts of Musk's business empire. His SpaceX's near-monopoly position in low-Earth orbit satellites, which enable cheaper and more reliable communications, and its importance in the ongoing conflict between Russia and Ukraine, have alarmed Beijing and prompted it to create domestic alternatives.

“The excellent performance of Starlink satellites in this Russia-Ukraine conflict will certainly encourage the US and Western countries to widely use Starlink” in possible hostilities in Asia, according to a September 2022 article, signed by researchers from an engineering university run by the Chinese military.

Although his social network X is banned in China, Musk has 2,3 million followers on the Chinese platform Weibo, and on local social media during some of his previous visits he has been hailed as a “pioneer,” “Brother Ma,” and “global idol.” Even Musk’s mother has become something of a celebrity in China.

His visit this week comes as he seeks to buy $2,9 billion worth of solar panel manufacturing equipment from Chinese suppliers, Reuters reported in March. That effort could now face new obstacles as China considers restricting exports of its most advanced technologies to the United States, while Trump’s tariffs have further complicated Musk’s business interests in China.

Tesla is also seeking regulatory approval for broader deployment of its Full Self-Driving driver assistance system.

Reuters points out that Musk is maneuvering cautiously in China, as the world's largest auto market and its vast supply chains remain a key pillar for his vast business empire that includes electric vehicles, solar energy and space programs.

Although his social network X is banned in China, Musk has 2,3 million followers on the Chinese platform Weibo, and on local social media during some of his previous visits he was celebrated as a "pioneer", "Brother Ma" and "global idol".

Unlike his frequent criticism of American policy, Musk has avoided publicly criticizing Beijing, instead praising China as a world leader in electric vehicles and solar energy, according to the New York Times.

Tesla was forced to apologize to Chinese consumers in 2021 for failing to respond to a customer's complaints in a timely manner. This came after a disgruntled Tesla owner climbed onto one of the company's models at a Shanghai auto show to protest the company's handling of her complaints about faulty brakes - a moment that was widely shared on Chinese social media and drew criticism in state media.

Tesla cars were banned from entering military complexes in 2021 due to security concerns about the cameras installed in the vehicles. That ban was only lifted after Musk visited China in 2024, and the automotive industry association confirmed that Tesla met requirements regarding data protection and processing.

In the long term, Reuters estimates, the biggest threat to Musk's popularity in China could come from the continued rise of the domestic auto industry.

“As Chinese companies catch up or even overtake Elon Musk’s tech empire, his reputation in China may begin to fade,” said Chang Yan, founder of Supercharged, a popular blog on Weibo dedicated to electric vehicles.

“But because of what he has achieved, he will likely remain an icon in China’s tech industry.”