San Francisco | January 2026
Tesla CEO Elon Musk has sparked fresh debate across the global technology and automotive industries after making candid remarks about China during a recent appearance on the Moonshots podcast. Speaking in a lighthearted tone, Musk said it often feels like China “takes everything I say seriously and then actually goes and does it.”
His comments came in the context of rising energy demands from data centers, battery storage, electric vehicles, and clean energy infrastructure.
China’s Aggressive Lead in Batteries, EVs, and Solar
Musk openly acknowledged that China has surged ahead in the very sectors he has been advocating for over the past decade. According to him, China is not only manufacturing batteries at massive scale but has also achieved unprecedented expansion in electric vehicles and solar power generation.
Industry data supports his assessment. In 2024 alone, China produced approximately 13 million electric vehicles, recording nearly 70 percent annual growth since 2020. Chinese companies such as CATL and BYD now control about 69 percent of the global EV battery market, giving the country a dominant position in the clean mobility supply chain.
Warning on China’s Solar Power Expansion
Musk has repeatedly highlighted the importance of solar energy on social media platform X. In 2024, he warned that China’s rapid solar expansion could surpass the entire electricity generation capacity of the United States within four years, a shift he said could significantly reshape the global energy balance.
Batteries as the Solution for AI-Era Power Demand
Addressing concerns about rising electricity consumption in the age of artificial intelligence, Musk emphasized that battery storage is the fastest way to scale usable energy capacity. He explained that while the U.S. has a peak power capacity of about 1.1 terawatts, average consumption is roughly half of that.
By storing excess nighttime energy in batteries and using it during peak daytime hours, Musk said countries could nearly double effective energy usage without building new power plants.
Tesla’s Megapack and Megablock Strategy
When asked whether such large-scale batteries already exist, Musk pointed to Tesla’s Megapack, designed for grid-level energy storage to stabilize power supply. He revealed that his AI company xAI has deployed 168 Megapacks at its data center in South Memphis, Tennessee.
Tesla further expanded its energy portfolio in September 2025 with the launch of Megablock, a system combining four Megapack 3 units. The setup can store 20 megawatt-hours of energy, enough to power approximately 4,000 homes for four hours.
A Clear Signal in the Global Energy Race
Musk’s remarks underscore how China’s scale, speed, and execution in clean energy and electric mobility have captured the attention of even the world’s most influential tech leaders. As the global race for energy security and EV dominance accelerates, China’s approach is increasingly being viewed as both a benchmark and a challenge for the rest of the world.
