The TeslaInc Gigafactory stands in Shanghai, China, on Friday,Nov 1, 2019.
Qilai Shen|Bloomberg|Getty Images
Tesla CEO Elon Musk stated Tuesday that individuals should be fretted about stress in between the U.S. and China.
The remarks come a year after President Joe Biden stated the U.S. would be prepared to safeguard Taiwan if the Asian island off the Chinese coast were to be assaulted. China thinks Taiwan belongs to its area.
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In an interview Tuesday following Tesla’s yearly investor conference, CNBC’s David Faber asked Musk if he was worried about “the growing belligerence” in between the U.S. and China.
“I think that should be a concern for everyone,” responded Musk, who was born in South Africa and ended up being a U.S. person in 2002.
Faber asked Musk if China will make a relocation to take control ofTaiwan “The official policy of China is that Taiwan should be integrated,” Musk stated. “One does not need to read between the lines.”
When asked if China relocating to control Taiwan would be bad for Tesla, or other business, Musk stated: “The Chinese economy and the rest of the global economy are like conjoined twins. It would be like trying to separate conjoined twins. That’s the severity of the situation. And it’s actually worse for a lot of other companies that it is for Tesla. I mean, I’m not sure where you’re going to get an iPhone, for example.”
Apple revealed in September that it had actually started putting together the iPhone 14 in India as it looked for to lower making dependence onChina Tesla produces lorries in Shanghai, and it runs other factories in California, Texas and Germany.
“There are some constraints on our ability to expand in China, and so we’re making as many cars as we can,” Musk stated. “It’s not a demand issue.”
He stated Tesla depend upon Taiwan Semiconductor to produce processors. Apple does also.
Faber asked Musk if he believes it’s inescapable that China would look for to take control of Taiwan.
“That is their policy, and I think you should take their word seriously,” Musk stated.
ENJOY: Tesla CEO Elon Musk on U.S.-China stress: There is some ‘inevitability’ to Taiwan circumstance
