SpaceX reportedly has a secret backdoor for Chinese investment

The Elon Musk missile missile company allowed Chinese investors to buy risks as long as the money is directed through the Kayman Islands or other external centers, according to reports from ProPublica.

Spacex is a defensive contractor for the Pentagon, which deals with sensitive work such as building a secret spy network. Investing from China raises concerns about national security, as it can give a foreign opponent to reach sensitive military technology, intelligence or supply chains.

An insight into the Spacex approach prevents new questions about Musk’s own relationships with China, especially reports that the Pentagon briefed musk on a possible war with China. The executive billionaire who leads this charge to federal spending regularly met with the officials of the Communist Party in China to discuss his commercial interests. Tesla’s Shanghai Gigafactory is building about half of the Tesla cars, and the country is a large part of its sales (if shrinking).

Details of how Spacex allowed Chinese investors to purchase in the company through its financial manager’s certificate, Brett Johnson, and the main investor, I came to Classon during a recent conflict in Dilayer.

The conflict focuses on the 2021 deal with a Chinese company that planned to buy $ 50 million in the company’s shares. When the news became public, the executive managers withdrew Spacex to avoid potential problems with national security organizers.

Kahlon witnessed in December that Spacex finds it “acceptable” for Chinese investors to buy in the company through external vehicles, which are often used to keep investors unknown.

Experts who spoke to ProPublica said this practice is worrying because it is a possible sign that the company takes active steps to hide foreign ownership interests. Exactly it is not clear why Spacex did this; The company did not immediately respond to a request for comment.

While the negative risks of foreign investors we welcome, the Trump administration’s position is that opponents like China use hidden investment strategies to obtain technologies, IP and leverage in strategic industries. As a result, these investments are usually examined by the US Foreign Investment Committee (CFIUS).

There is no general record of Spacex under CFIUS official review. TECHRUNCH connect with CFIUS and Spacex to learn more.

PROPUBLICA reports follow an investigation from The Financeial Times, which have found that Chinese investors are using private cars for purposes to quietly convert millions to musk -controlled companies, including Spacex, Xai and Neuralink.