Elon Musk recently indulged in a tweetstorm about trade rules in China, which he says are hindering Tesla’s ability to compete in the market. “The current rules make things very difficult. It’s like competing in an Olympic race wearing lead shoes,” Musk wrote. However, he also said that “China has already shown a willingness to open their markets and I believe they will do the right thing.”

Musk’s venting raised fears that Tesla’s ongoing talks to build a manufacturing facility in China had fallen victim to growing trade tensions between the two countries. However, city authorities in Shanghai soon assured us that negotiations to build a local manufacturing plant remain on track.

Communication with Tesla is positive, and the two sides share the goal of developing China’s new-energy vehicle market, the Shanghai government told Reuters. “Both sides will keep looking thoroughly at plans in China. Currently the details are still under discussion, once anything is confirmed we will announce it as quickly as possible.”

Source: Reuters