Indian Prime Minister Narendra Modi will be in the United States next week at President Donald Trump’s behest and is anticipated to meet with Elon Musk during his next trip there. February 13 is the expected day when the Tesla and SpaceX CEO will be among a few CEO gathering with Modi.
Among several main points for talks are the possible for Tesla to break into the Indian market with electric cars (EVs) and the legislative permissions required for such a move. Musk could also talk about launching Starlink, his satellite firm, in India along with encouragement of cooperation with the Indian Space Research Organisation (ISRO).
For years, Tesla’s Indian entry has been under review. Some what delaying Musk’s plans to introduce Tesla automobiles in India are high import fees on finished electric vehicles. As with the US government, CNBC reports that President Trump is forecast to support reduced import duties. Tesla is investigating a lower-cost electric vehicle model to be released in India by years end and looking for showroom sites there. It shows the company preparing to enter the market.
Originally planning to visit India in April 2024, Musk changed his plans specifically for his Tesla obligations. Sources claim that the next meeting of Indian government officials is well received, but it may not lead to a fast decision on production in India. In the Union Budget 2025, Finance Minister Nirmala Sitharaman announced that customs duties on lithium-ion batteries used in EVs would be eliminated and that luxury cars above $40,000 would see duty cuts. These efforts could entice companies like Tesla to start in India, which ranked third globally in vehicle sales.
Though Musk has commended Modi and they have met multiple times during Modi&’s visits to the US, local production could not be immediately authorized owing to the global fall in EV sales. Furthermore challenging Tesla is strong competition from Chinese EV companies; BYD leads worldwide sales for the first time in more than ten years in 2023.