Musk’s Favor from Trump: Analysis – CCP’s Misguided Expectations

【Epoch Times News, November 15, 2024】United States President-elect Trump is set to announce his inauguration next January. On November 12th, he appointed Elon Musk and Vivek Ramaswamy to co-lead the “Department of Government Efficiency”. Musk, who has a super factory in Shanghai, is now gaining political influence in the US. Reports indicate that Beijing has high expectations for Musk and even hopes for him to be a second Henry Kissinger. Experts analyze that while Musk has gained Trump’s favor, he cannot play the role of Kissinger due to the US viewing the CCP as the top threat.

Tuesday, November 12th, Trump issued a statement appointing Tesla CEO Elon Musk and Indian-American entrepreneur Vivek Ramaswamy to co-lead the “Department of Government Efficiency”, aiming to provide recommendations on reducing federal expenses to the White House and the Office of Management and Budget.

Since his election, Trump has assembled a tough hawkish cabinet that has caused concern in the CCP. The Wall Street Journal cited Ian Bremmer, founder of the Eurasia Group, saying that senior Beijing leaders are discussing Musk’s role in the Trump administration in an attempt to balance US-China relations.

Voice of America reports that since Kissinger’s passing in November last year, there seems to be a lack of an unofficial trusted role between the two countries. Signs indicate that China (CCP) hopes Musk can fill this gap. Chinese media and think tanks have also been openly seeking a “Kissinger”. The late Kissinger played a key role in facilitating the establishment of diplomatic relations between China and the US in 1971.

Reports highlight that Tesla’s Shanghai factory, under Musk’s leadership, is the company’s largest and most productive factory, accounting for over half of the company’s global deliveries and contributing the majority of profits. Tesla is the only foreign-owned car company allowed to build fully-owned factories in China.

Sari Arho Havrén, Assistant Researcher at the Royal United Services Institute for Defense and Security Studies (RUSI) and expert in Chinese foreign policy, told Voice of America that Musk’s close relationship with the US President-elect will definitely elevate his status in China. He could easily be seen as a channel and intermediary between Beijing and the US.

Apart from the CCP wanting Musk to act as a “mediator”, tensions with Iran, which has a close relationship with President-elect Trump, have also led them to seek Musk’s involvement. According to The New York Times, Musk, a tech billionaire closely associated with the US President-elect, met with Iran’s Ambassador to the United Nations in an attempt to ease tensions between Iran and the US.

The Times quoted anonymous Iranian sources as saying that the meeting between Musk, the world’s richest person, and Iran’s Ambassador to the United Nations was “positive”. This once again demonstrates Musk’s remarkable influence.

Foreign media commentary suggests that Musk may become a non-official envoy similar to Kissinger, shuttling between the US and China. In response, American pundit Fang Wei told Epoch Times that Kissinger emerged in the past because the US needed to court China to counter the Soviet Union. The fundamental reasons no longer exist today.

“Fang Wei said, “Today, the CCP is America’s number one enemy.” If there were to be a pro-Russia (friendly) Kissinger-like figure today, it might be possible. The chance of another Kissinger emerging in US-China relations is completely impossible.

Taiwan’s senior political and economic commentator Wu Jialong, in an interview with Epoch Times, mentioned that although Musk is in government circles, he is not part of the national security team and may not have much influence on the Trump administration’s China policy.

Abishur Prakash, founder of the Geopolitical Business consultancy in Toronto, Canada, told Voice of America that Musk may face significant challenges if he acts as a “mediator” between the US and China. This could ring alarm bells not only for national security but also for economic security.

Prakash believes that while Musk has Trump’s favor, expectations for his influence on Trump’s China policy should not be too high.

The CCP has never stopped its cognitive war against Taiwan. Recently, a video circulated on TikTok claiming that Musk demanded that 46 “Starlink” satellite factories in Taiwan be relocated or risk being kicked out of SpaceX’s supply chain was proven to be disinformation from Beijing, written in simplified Chinese characters.

Eventually, it was confirmed that Musk’s “Starlink” had not requested the factories to relocate from Taiwan.

In February last year, Musk gave an affirmative answer when questioned about former US National Institute of Allergy and Infectious Diseases Director Anthony Fauci funding the Wuhan Institute of Virology to develop the novel coronavirus (CCP virus). Although he did not directly mention “China”, the posts he shared, along with those shared by American right-wing influencers, almost always link the origin of the novel coronavirus to China. Chinese state media Global Times subsequently condemned Musk’s remarks, questioning, “Musk, are you trying to shift blame to China?”

Wu Jialong pointed out that Musk’s role in the Trump administration is centered around streamlining federal agencies, not handling diplomacy or US-China relations. However, the CCP is pleased to see Musk hold a position in the Trump administration, indicating that they view him as someone sympathetic to their cause.

“This is definitely a misguided expectation,” Wu Jialong said, as Musk cannot play a role in US-China relations in the same way Kissinger did.

Fang Wei also mentioned that Musk’s relationship with the CCP is based solely on his Tesla company, whether his electric cars can survive and make profits in China, and is not necessarily related to US-China relations. The CCP only regards him as a special figure.

In 2023, Musk stated in a podcast that Taiwan is like “China’s Hawaii”, sparking controversy. Prior to this, in an interview with the Financial Times, he suggested making Taiwan a special administrative region akin to Hong Kong to prevent conflict.

Wu Jialong noted that in the current US domestic environment, especially in the new Trump 2.0 government, almost all officials are part of a super hawkish stance against the CCP. Therefore, it is not possible to allow Taiwan to become a special administrative region of China (CCP). So Musk’s remarks about Taiwan may not have substantial impact.

According to Tesla’s third-quarter financial report for 2024: in the Chinese market, the September sales of Model Y and Model 3 ranked first in the domestic passenger car market and luxury sedan market with 48,000 and 24,000 units respectively.

Fang Wei believes that because the CCP helped Musk earn so much money, they might request a favor to speak a few words that Beijing likes to hear, but not much else beyond that.

Wu Jialong said, “The Trump 2.0 team is strongly focused on countering the CCP, so when Musk speaks out, the hawks feel nervous about the idea of Taiwan becoming China’s Hawaii.” He believes that perhaps this is a warning, reminding the Trump administration to take real action.