Elon Musk predicts that China’s economy could outperform two or three times that of the United States.

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Elon Musk has stated in a interview published this Monday by The Wall Street Journal that China is on its way to becoming a the first global economy and that it could outperform the US by “two or three times.”

“We are now approaching a situation where China’s economy could presumably exceed two or three times that of the United States. It’s a different world, “stressed the billionaire.

Although Musk acknowledged that Tesla and China have good relations, he also pointed out that he does not approve of all the actions of any government, including the Chinese.

“It is not my intention support everything China does more than, say, would support anything the United States or any other country does, “said Musk, who concludes that” we are moving into an interesting new world “and” we must remember that we are all human. “

China is by far the largest market for electric cars in terms of unit sales and, according to a report from Tesla, sales of its cars in China reported revenue of $ 3.11 billion in the third quarter of 2021.

This year Beijing cracked down on the profits of tech giants and education companies, and introduced restrictions to loans for real estate companies. Likewise, the rise in factory prices has made it difficult to maintain company profit margins, while the absence of significant easing measures by the country’s central bank in recent months has impaired growth economic.

As a result, Chinese off-shore stocks are among the worst performers this year, while the index Nasdaq Golden Dragon China it has fallen more than 50% since it peaked in February. The index MSCI China it is approaching lows against global equities since 2006.

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However, BlackRock believes that the regulatory high point has passed and expects pro-economic measures to start rolling in. work in the new year.

For its part, Goldman Sachs is optimistic about the investment opportunities associated with the policy towards renewable energy. Meanwhile, UBS Group expects an increase in profits and company valuations.

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