Shafaqna English– Elon Musk has categorically rejected a media report claiming that Tesla executives had been instructed to ready themselves for a potential separation of the company’s Chinese operations.
The report had linked this possible move to a future merger between Tesla and Musk’s aerospace company, SpaceX. Musk publicly labeled the story as “fake news,” dismissing it outright.
The Wall Street Journal, which first broke the story on Thursday(30 Jul 2026), stated that Tesla’s advisers have already held discussions on a range of potential outcomes for the Chinese division.
These possibilities are said to encompass a complete sell-off, a spin-off into an independent company, or a full closure of the unit. The Journal also emphasized that the timing of any such action is highly uncertain and that the strategy remains fluid, with no final decisions yet made.