While Tesla CEO Elon Musk is seeking to acquire social media Twitter, some argued that Tesla’s dependence on China could lead to U.S. national security issues.
Citing the views of 12 former and current U.S. officials related to foreign investment screening, the Washington Post (WP) reported on the 2nd (local time), “China’s influence on Tesla is raising questions about Musk’s acquisition of Twitter.”
Analysts say that the acquisition of Twitter is eventually related to national security because the Chinese government exerts influence on Musk in a way that controls the supply of Tesla’s electric vehicle parts.
They feared that the Chinese government could exert influence through Musk on identifying anti-Chinese and U.S. Twitter users, blocking content that the U.S. government considers illegal, and promoting China online. In addition, intelligence analysts and White House officials are also concerned about China’s coercive influence if Musk gets his hands on Twitter, WP said.
According to WP, Tesla’s Shanghai plant accounted for almost half of electric vehicle production in 2021, and China supplies most of the main materials for electric vehicle batteries such as cobalt, lithium, and nickel.
In addition, about half of Tesla’s new cars were equipped with lithium iron phosphate (LFP) batteries, and Chinese companies produce most of these LFP batteries.
Some experts suggested that the Foreign CFIUS, an organization that reviews Chinese investment in U.S. companies, should expand its investigation into Musk’s acquisition of Twitter.
“Considering the amount of sensitive personal data Twitter has, any foreign investor is likely to be scrutinized,” said Richard Sofield, who was in charge of foreign investment deliberation at the U.S. Justice Department. “The possibility of access to Twitter users is clearly a major concern for national security.”
“Twitter itself is blocked in China and is not accessible to most people, but China is interested in how foreigners can influence their views on the country, and Chinese diplomats have been active on Twitter in recent years,” the WP said
In the case of Saudi Arabia, we are collecting internal information on tech companies such as U.S. social media companies, he added.