A potential merger between two companies owned by Elon Musk is being complicated by Tesla's business in China. The electric vehicle aspect of the company is posing issues for a possible combination with SpaceX. Details about the potential merger and its implications are limited, but it is known that Tesla's presence in China is a key factor.

Further information about the situation can be found through Reuters, which reported on the analysis of the potential merger. The specifics of how Tesla's China business affects the merger are not fully available in this report, but the issue is significant enough to be considered a hurdle to the potential combination of the two companies.