Elon Musk, the owner of the American electric car maker Tesla, has said he will “shut down” his company if it is proved that his company’s cars were used to spy on China.
Elon Musk’s statement came in response to reports that the Chinese military has banned Tesla at all its stations.
The Chinese military had expressed security concerns after data collection on cameras installed in the cars.
Looking at the company’s quarterly sales last year, China is the second-largest market for Tesla cars after the United States.
On Saturday, Elon Musk said that if a business was hired to spy on foreign governments, it could have a very negative effect on the company.
“Keeping any information confidential has many benefits for us,” Elon Musk told an influential Chinese business forum via video link.
“If Tesla’s cars are used for espionage in China or elsewhere, we will close the company,” he said.
For a long time, Chinese and American trading companies have faced many problems while working in each other’s countries.
The relations between China and the United States, for the past several years, the world’s two largest economies, have been strained.
The first high-level face-to-face meeting with Chinese President Joe Biden’s administration earlier this week also included harsh words.
Elon Musk has stressed the need to create a climate of greater trust between China and the United States.
Citing Chinese video platform TikTok, he demanded that companies not be allowed to raise concerns that they are spying on their governments.
Last year, former US President Donald Trump hinted at a ban on TikTok based on concerns that the company could share data with the Chinese government.