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When Elon Musk opened a Tesla factory in Shanghai in 2019, the Chinese government welcomed him with billions of dollars’ worth of cheap land, loans, tax breaks and subsidies. “I really think China is the future,” Musk cheered.

Tesla’s road since then has been lucrative, with a quarter of the company’s revenue in 2021 coming from China, but not without problems. The firm faced a consumer and regulatory revolt in China last year over manufacturing flaws.

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