Tesla has just launched the Doubao voice assistant in its vehicles in China, yet is now reportedly considering selling its entire China business? According to the Wall Street Journal, Tesla is considering divesting its China operations to pave the way for a potential merger with SpaceX. Tesla China has officially responded, calling this “unfounded information.” The Shanghai Gigafactory is Tesla’s largest facility worldwide, producing over half of all Tesla vehicles, cultivating a complete supply chain, and securing the highest order volumes. After investing so heavily, are they really going to give it away? But SpaceX is also a U.S. defense contractor, involved in satellites, rockets, and theoretically national security. So, must a U.S. defense company have no Chinese operations? Must Tesla’s China business be completely severed first? That argument feels strained... If Tesla ultimately gives up its entire China automotive business to facilitate a merger with SpaceX, the likely buyer would be a domestic Chinese company. Imagine this scenario: future Chinese automakers launch product unveilings targeting Tesla—only to be comparing themselves to a homegrown brand 🤡