Tesla and BYD have a ‘positive’ relationship, says Musk after denying media report

Tesla and BYD have a ‘positive’ relationship, says Musk after denying media report

Tesla CEO Elon Musk has recently asserted that his firm’s relationship with Chinese automotive giant BYD is “positive,” despite a media report that the two companies are reportedly in a state of conflict.

In a series of tweets on Wednesday, Musk disputed the accuracy of a recent South China Morning Post article which claimed that the firms had fallen out over the alleged sale of Tesla’s Shanghai Gigafactory to an outside investor.

The report, which cited unnamed sources, alleged that Tesla and BYD had been locked in a dispute over the sale of the Shanghai factory, which was sold by Tesla to a Chinese automaker in December.

Musk, however, took to Twitter to deny the report, asserting that the two firms have a “positive” relationship and that Tesla had not sold the factory to an outside investor.

“The relationship between Tesla and BYD is positive, and we are collaborating on a number of projects,” Musk wrote. “We are not selling the Shanghai Gigafactory and did not sell it to anyone. It is an important part of our global manufacturing plans.”

The billionaire entrepreneur also noted that Tesla has been collaborating with BYD on several projects, including the development of a new electric vehicle battery.

The clarification comes as Tesla has recently made considerable progress in its Chinese operations, with the Shanghai Gigafactory now producing the company’s Model 3 sedan and its Model Y crossover.

Tesla and BYD have previously worked together on a number of projects, including a joint venture to develop electric vehicle batteries, and the two firms have reportedly maintained a close relationship throughout the years.

Musk’s comments suggest that the two firms remain on good terms, despite the recent media report claiming otherwise. Whether or not the companies are collaborating on further projects, however, remains to be seen.