Musk's visit to China is very interesting, because Musk not only received a high-level reception, but also is likely to have obtained FSD's access to the Chinese market. This is very important for Musk's Tesla. In addition, Musk still came to China after rejecting Indian Prime Minister Modi's invitation, which is also very revealing.
The meaning of the pentagram is not only in China, but also in Texas
For Musk, Tesla is currently the most profitable industry under his name, and he also needs electric cars to subsidize the operation of expensive companies such as SpaceX. Electric vehicles have now formed a huge leap forward in China, in 2011 Musk could still laugh at BYD's electric car technology level, and in 2018 Musk's Tesla was still saved by the Shanghai Gigafactory. Now, if Musk dares to ignore the Chinese market, which has the most mature infrastructure and the most complete supply chain, then Tesla is bound to be a dead end.
Capital is also very honest, after Musk returned from China, Tesla's market value increased by $82.6 billion.
On the one hand, it is true that Musk needs China, and China needs to show the world's industrial capital investors a benchmark for China to remain open, which is what the two need for each other. China needs to tell the world that if industrial capital is to invest in China, it can enjoy an open business environment, a complete industrial chain, and a surging consumer market. At the same time, if industrial capital wants to bypass China, it will face a series of problems such as high costs, high energy consumption, uncertain environment, and inefficient labor, and will be at a disadvantage in global competition.
The United States has been encircling China for so long, and although it cannot be said that it has no effect now, the United States and even Europe have fallen into passivity in emerging industries that have begun to take shape. Although the United States and Europe still play the most cutting-edge role in theory and science, China's industrial development speed is far beyond the reach of the United States and Europe, and this overwhelming advantage of 1-100 may eventually lead to China's strength in 0-1.
The accumulation of 0-1 is also another reason for China's opening up. China cannot do things behind closed doors, and China also needs some areas where foreign capital still has advantages as catfish, so that domestic enterprises will not fall into meaningless vicious competition. China also needs a huge international market, and China's current manufacturing industry is far beyond its domestic consumption capacity, and China needs to remain open in exchange for access to other countries' markets. It still makes sense to open up to the outside world.
Now the output value of China's automobile industry has exceeded that of real estate, and China has actually entered a new round of industrial upgrading, and this round of industrial upgrading is directly poked at the pillar industries of developed countries. If the United States and Europe cannot overwhelm China, then the best way is to join. Germany's attitude has been relatively clear, and Scholz knows it in his heart, so he not only brought a large delegation of industry, but also deliberately did not bring two American agents who occupy important departments.
Similarly, after French President Emmanuel Macron's high-profile visit to China last year, this year's presidential visit to France is expected to discuss some industrial cooperation. France and Germany are still different, but they both belong to the category that can be fought for.
There will be no interruption in opening up to the outside world, but the corresponding offensive and defensive changes have become a foregone conclusion. If you look back, although the Made in China 2025 proposed back then is not very public, most of the goals have been completed. This also means that China is capable of countering existing economic means such as US sanctions and tariffs. In this context, China will inevitably further promote opening up, so opening up to the outside world at this moment no longer means not only bringing in, but also going out at a high level.
Musk can be used as an effective model to tell the world.