Following news that the company has partnered with search giant Baidu to overcome a significant regulatory obstacle in China, Tesla’s stock price has surged.
The reports follow CEO Elon Musk’s unexpected visit to meet Premier Li Qiang, the nation’s second-in-command.
With the agreement with Baidu, Elon Musk is one step closer to introducing Tesla’s autonomous driving technology in China.
Daniel Ives, a Wedbush analyst, called it “a watershed moment.” We’ve reached out to Tesla for a response. Baidu said it would not comment.
According to Mr. Ives, the business must obtain certification for completely autonomous driving in order to pursue its “long-term valuation story” despite facing “massive domestic electric vehicle competition in China along with softer demand.”
