2 weeks Ago By Moneycontrol
Elon Musk, CEO of Tesla and a key advisor in the Donald Trump administration, is expected to meet Indian Prime Minister Narendra Modi during the latter’s visit to the United States next week, CNBC-TV18 has reported. PM Modi is scheduled to visit the US from February 12 to 14 at the invitation of President Donald Trump. According to sources, Musk is likely to be part of a select group of CEOs meeting Modi on February 13.
The billionaire entrepreneur has long expressed interest in bringing Tesla to the Indian market, though plans have faced delays. Musk's highly anticipated visit to India in April last year was postponed due to commitments at Tesla. Sources told CNBC-TV18 that while any discussion between Musk and Indian officials would be positive in terms of messaging, it may not result in an immediate announcement or commitment to manufacturing in India.
Moneycontrol could not independently verify the report. Musk may also seek early regulatory approval to begin operations for Starlink, his satellite internet venture, in India. Strengthening collaboration with the Indian Space Research Organisation (ISRO) is also expected to be on his agenda, the report added.
As head of the U.S. government’s newly formed Department of Government Efficiency (DOGE), Musk is likely to advocate for a level playing field for Tesla before committing to retail operations in India.
According to CNBC-TV18, the Trump administration is expected to push for lower import duties on fully built electric vehicles (EVs) entering India. Although the Indian government introduced the Scheme for Promotion of Manufacturing Electric Cars in India last year to attract global EV makers like Tesla, the company has not participated in recent stakeholder consultations. However, sources told CNBC-TV18 that Tesla remains keen on entering the Indian market and continues to explore options.
Tesla is set to launch a low-cost, affordable EV by June this year, and sources indicate that this model could enter the Indian market by 2025. The company has also been scouting locations for company-owned showrooms in India. However, Musk may seek more time before committing to local manufacturing, given the recent slowdown in global EV sales.
Tesla also faces increasing competition from Chinese EV makers. In 2023, Tesla’s global sales declined for the first time in more than a decade, with the company delivering 1.79 million cars, compared to 1.
74 million sold by Chinese rival BYD. In a move seen as a positive signal to the U.S.
, India’s Union Budget has slashed import duties on electric vehicles costing over $40,000 from 125 percent to 70 percent. Additionally, the basic customs duty on lithium-ion batteries has been scrapped—steps likely to be welcomed by Tesla and other EV players, CNBC-TV18 report added..
