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Signage at the Tesla Inc. Gigafactory plant in Shanghai. Signage at the Tesla Inc. Gigafactory plant in Shanghai.Photographer: Qilai Shen/Bloomberg

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By Bloomberg News

July 30, 2026 at 9:16 PM EDT

Updated on July 30, 2026 at 9:46 PM EDT

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Tesla Inc. is weighing a potential separation of its China business to pave the way for a potential merger with SpaceX, the Wall Street Journal reported.

Some Tesla executives have been told to prepare for the move, the Journal saidBloomberg Terminal, citing a person familiar with the talks. Tesla advisers have discussed options including a spinoff, sale or closure of the China business, according to another person familiar with the situation, the outlet said.

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