Economics

China Wants Elon Musk to Help Promote Stable Ties With the U.S.

Premier Li, Musk meet after factory groundbreaking ceremony
China hopes Tesla can get a foothold, expand market: Li

Elon Musk with Li Keqiang in Beijing on Jan. 9.Photographer: Mark Schiefelbein/Pool via Getty Images

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By David Welch and Crystal Chui

January 9, 2019 at 1:45 PM UTC

Updated on

January 10, 2019 at 1:00 AM UTC

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What’s the bigger challenge for Tesla Inc. Chief Executive Officer Elon Musk: Helping thaw frosty relations between the U.S. and China, or getting the company’s planned $5 billion plant outside Shanghai up and running by the end of the year?

Two days after Musk appeared at a muddy groundbreaking ceremony for his newest gigafactory, China’s Premier Li Keqiang met with the billionaire-entrepreneur in Beijing and said he hopes Tesla’s CEO can do both. Musk’s target is for Tesla to build the factory and start assembling Model 3 sedans by the end of this year, with volume production getting under way in 2020.