Elon Musk, CEO of Tesla (stock code: TSLA), recently held talks with Chinese officials discussing the launch of Full Self-Driving (FSD) software in China and issues related to data transmission, which could play a crucial role in Tesla's future development in the Chinese market.

The meeting primarily focused on the possibility of introducing Full Self-Driving software in China and allowing the transfer of data overseas. Musk described the meeting as "honored" as he exchanged ideas with Premier Li Keqiang, discussing Tesla's development in China and Sino-U.S. economic and trade cooperation.

Since 2021, Tesla has been storing all data collected from its Chinese fleet in Shanghai in compliance with Chinese regulations and hasn't transferred any data back to the United States. Now, Musk is seeking approval to transfer the data collected in China abroad to train algorithms for its autonomous driving technology.

China's market for intelligent new energy vehicles (NEVs) is rapidly expanding, with Tesla having sold over 1.7 million vehicles in China, and its Shanghai factory being the company's largest manufacturing base globally. Additionally, Musk mentioned Tesla's plan to launch a new autonomous driving robotaxi on August 8.