Elon Musk has strongly denied a report that Tesla executives were asked to prepare scenarios for a separation of activities in China, in the event of a possible merger with SpaceX. According to the Wall Street Journal, consultants discussed options such as spin-offs, sales, or closures, also highlighting uncertainty about the timing and the actual feasibility of any plans. But Musk’s response on X was clear: “This has never even been a topic of discussion. Absolutely fake news“.
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Is Tesla spinning off its activities in China?
Beyond the denial, the debate about the possible integration between the two Musk-linked companies remains heated for industrial and geopolitical reasons. A merger between Tesla and SpaceX could indeed face regulatory and security obstacles, especially in China, considering that SpaceX operates as an important contractor for the U.S. defense and manages activities related to security and satellite programs. Tesla, on the other hand, maintains owned plants in China, making any hypothesis of corporate realignment or reorganization of activities particularly sensitive.
Musk denies
Speculation also arises from the fact that, for some time, investors and analysts have been observing a possible convergence between the automotive and space sectors, a debate that intensified after the space company’s record growth, attracting 75 billion dollars during its listing. In this context, the Shanghai Gigafactory – a key production and export hub – continues to represent a central node, both for the group’s economy and for governance and approval issues that any reorganization might require.
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