As U.S. President Donald Trump arrived in Beijing this week for high-level talks with Chinese President Xi Jinping, one of the most closely watched figures accompanying him was Elon Musk.

For years, Musk has occupied a unique position in China celebrated by many consumers and entrepreneurs as a visionary innovator while also drawing criticism from regulators, state media and military strategists concerned about the growing reach of his technology empire.

Musk joined a delegation of leading American executives travelling with Trump, including Tim Cook and Jensen Huang, as Washington and Beijing attempt to stabilise relations amid trade disputes and geopolitical tensions.

Speaking briefly to reporters after meetings at Beijing’s Great Hall of the People, Musk said he hoped to achieve “many good things” during the visit.

Tesla’s Deep Roots In China

Much of Musk’s influence in China comes from the success of Tesla, which has become one of the country’s most recognisable foreign automotive brands.

In 2018, Tesla became the first foreign automaker allowed to establish a wholly owned manufacturing facility in China without needing a local joint-venture partner a major policy breakthrough at the time.

China has since become one of Tesla’s most important global markets. The company sold around 626,000 vehicles there last year, making it one of the country’s top EV manufacturers. China also accounts for roughly one-fifth of Tesla’s global revenue.

Analysts say Tesla’s software-focused approach to electric vehicles reshaped the Chinese auto industry. Many domestic automakers studied Tesla’s designs closely during the pandemic years while developing their own next-generation EV platforms.

Executives at Chinese automaker Chery have openly acknowledged Tesla’s influence. Chery chairman Yin Tongyue recently said the company aims to combine Tesla’s innovation culture with the manufacturing quality associated with Toyota.

Why Beijing Still Values Musk

Despite growing competition from local companies such as BYD, Geely and Chery, Musk continues to hold significant influence in China because many of his business interests align with Beijing’s long-term technology priorities.

Experts point to electric vehicles, autonomous driving, artificial intelligence, robotics, brain-computer interfaces and satellite communications as sectors where China wants to become globally dominant.

Tesla’s Full Self-Driving technology is still widely viewed as one of the industry benchmarks in China, even as domestic competitors rapidly improve their own systems.

Musk is also reportedly seeking Chinese approval to further expand Tesla’s self-driving features in the country. At the same time, the company has been negotiating to purchase billions of dollars worth of solar manufacturing equipment from Chinese suppliers.

Starlink And Security Concerns

While Tesla has received support from Chinese authorities, other parts of Musk’s business empire have generated concern inside Beijing.

Chinese military researchers have repeatedly expressed alarm over SpaceX and its Starlink satellite network, especially after the system’s prominent role in the Russia-Ukraine conflict.

A 2022 paper written by researchers linked to a People’s Liberation Army engineering university argued that Starlink’s battlefield performance could encourage the United States and its allies to rely heavily on similar satellite systems in future Asian conflicts.

Those concerns have partly accelerated China’s push to develop domestic satellite communication alternatives.

Public Backlash And Regulatory Pressure

Musk’s popularity in China has not been without setbacks.

In 2021, Tesla faced a major public relations crisis after a customer protesting alleged brake failures climbed atop a Tesla vehicle at the Shanghai Auto Show. Videos of the incident spread rapidly across Chinese social media, triggering criticism from state media and forcing Tesla to publicly apologise.

The same year, Tesla vehicles were barred from entering certain Chinese military compounds because of concerns over onboard cameras and data collection systems. The restrictions were later eased after Tesla strengthened local data compliance measures.

Despite those controversies, Musk continues to enjoy strong public visibility in China. On Weibo, he has millions of followers and is frequently described by fans as a “global idol” and “Brother Ma.”

Chinese EV Giants Are Catching Up

Still, analysts say Musk’s biggest long-term challenge in China may come not from regulators, but from the rapid rise of China’s domestic electric vehicle industry.

Chinese automakers are increasingly matching Tesla on software, battery technology and autonomous driving while offering lower-priced vehicles tailored specifically to local consumers.

Some analysts believe Musk’s status in China could gradually fade as local companies continue to close the innovation gap.

Even so, many in China’s technology sector still view Musk as one of the defining entrepreneurs of the modern era a businessman whose influence helped accelerate the country’s own electric vehicle revolution.

(with inputs from Reuters)