Tesla’s Gigafactory in Shanghai, which produces over 950,000 vehicles annually and accounts for more than half of the company’s global deliveries, is not up for sale according to Elon Musk. The CEO called recent reports suggesting a sale or spin-off of the China plant “absurdly fake news.”
These rumors surfaced after a Wall Street Journal article mentioned Tesla advisors considering various options for its China operations amid talks of a potential Tesla-SpaceX merger. Musk dismissed any discussion of selling the Shanghai factory, emphasizing that such considerations never even came up.
The Shanghai plant is key, exporting cars to Europe, Canada, and the Asia-Pacific. Musk’s denial comes during a tough week for Tesla stock, which faced its worst drop since 2022 after mixed Q2 earnings. While speculation about a Tesla and SpaceX merger remains, fueled by SpaceX's recent $75 billion IPO boosting its valuation to $1.75 trillion, Musk has not confirmed or denied such plans beyond brief dismissals.
