Tesla rumored to be moving to separate its China business amid geopolitical risks; Musk says it's "utterly bogus fake news"

The Wall Street Journal reported that Tesla had internally reviewed ways to separate its China business, including a spinout, sale, or shutdown, amid geopolitical risks and a potential SpaceX merger.

Elon Musk denied the report outright on X, while Tesla and SpaceX offered no additional comment.

Because Tesla’s Shanghai Gigafactory, China supply chain, and vehicle data are critical to earnings and global sales, any real move could raise major business, regulatory, and security risks.