This time it's not rare earth! China is now tightening control over another critical link for the U.S., and insiders say it's related to Musk's reckless moves.

Reuters reported on April 15 that five informed sources told the media China is considering restricting exports of the most advanced solar manufacturing technology to the United States. The report explicitly stated that these discussions are still in the preliminary stage, with no final rules established yet, and no formal industry consultation process initiated.

By the end of 2025, China will account for 96% of global polysilicon capacity, 96.2% of wafer production, 91.3% of cell production, and 80.1% of module production. In other words, from upstream raw materials to downstream finished products, China virtually dominates the vast majority of global photovoltaic manufacturing capacity.

The Reuters report highlights a key figure—Musk. Musk has recently taken significant actions. He publicly announced Tesla’s goal to achieve a domestic U.S. production capacity of 100 gigawatts of solar cells by the end of 2028. What does 100 gigawatts mean? It equates to the power generation capacity of 10 nuclear power plants. If achieved, Tesla would easily become the largest solar manufacturer in the United States.

To realize this goal, Musk needs equipment. Earlier reports from Reuters indicated that Tesla is seeking to purchase solar cell production equipment worth approximately $2.9 billion from Chinese suppliers.

But the issue goes beyond simply buying machinery. Musk repeatedly emphasized the "astronomically high" tariffs on imported solar products into the U.S., openly stating, "We must manufacture solar energy ourselves." His underlying intention is to gradually build a domestic photovoltaic industry in the U.S. that is independent of supply chains dominated by Chinese enterprises.

In short, China's decisive move this time clearly reflects its unwillingness to use its advanced technologies to nurture a potential future competitor. If this restriction measure is ultimately implemented, Tesla will be the first to feel the impact.

Original source: toutiao.com/article/1862609253323779/

Disclaimer: This article represents the personal views of the author.