I thought Tesla (unlike SpaceX, due to ITAR/etc.) was pretty open with their technology. I assume Elon would be happy if all of the non-EVs in China copied Tesla. OTOH, I think the Chinese market actually already has better EVs for 90% of the Chinese market, and the market for Tesla is the high-end prestige market which wouldn't be so affected by copying (they don't copy BMWs today)