Musk offers proposal on China-Taiwan tensions

STORY: Billionaire businessman Elon Musk has suggested tensions between China and Taiwan could be resolved by handing some control to Beijing.

The idea of a “special administrative zone”, similar to Hong Kong, was floated in an interview with the Financial Times.

Musk was responding to questions about China, where his Tesla electric car company operates a large factory in Shanghai.

The world’s richest man also said he believed conflict over Taiwan was inevitable

and warned of the potential impact on the wider global economy.

Beijing has long vowed to bring Taiwan under its control and has not ruled out using force to do so.

It currently views the democratically ruled island as one of its provinces.

Although Taiwan, which is home to 23 million people, strongly objects to China’s sovereignty claims.

In the past, China has offered Taiwan a “one country, two systems” model of autonomy, similar to Hong Kong - but it has been rejected by all mainstream political parties and has no public support.

When asked about Musk's remarks, a Chinese foreign ministry spokesperson said Taiwan was a "domestic affair."

Adding that Beijing would continue to adhere to the principle of peaceful reunification while "resolutely smashing" Taiwanese separatism.

Taiwan's Foreign Ministry declined to comment.

The businessman's latest geopolitical remarks come days after he proposed a so called “peace plan” via a Twitter poll about the war in Ukraine.

One of his ideas included permanently ceding territory to Russia.

Musk pledged to support Ukraine earlier this year and provided his Starlink internet service to the country, which has been vital to ensure secure military communications.

Musk said China has sought assurances that he would not offer the Starlink service there.