India’s PM is planning to meet the founder of Tesla and Starlink in an effort to attract additional investment
Indian Prime Minister Narendra Modi is likely to meet Elon Musk during his anticipated visit to the US next week, CNBC TV18 has reported. The head of state will be visiting the US at the invitation of President Donald Trump.
Musk, who is now co-head of the Department of Government Efficiency or DOGE, is likely to be among a select group of CEOs who will meet with Modi on February 13, the report said. So far, there has been no official confirmation.
Musk, who heads SpaceX and Tesla, is likely to use the meeting as an opportunity to push for the expedited approval of Starlink’s operations in India. Additionally, a strengthening of collaboration and ties with the Indian Space Research Organization (ISRO) is reportedly expected to be a key agenda item.
In November 2024, India’s telecommunications minister had stated that Musk’s company was seeking security clearance to provide satellite broadband services in India, with the application being reviewed by the government in New Delhi.
The Indian leader met the entrepreneur in 2023 during the former’s visit to the US. After that, talks of Tesla visiting India cropped up. Last year, Musk had lined up plans to meet Modi in India and make a slew of announcements with regard to Tesla but cancelled his trip, citing “very heavy Tesla obligations.” Subsequently, reports emerged that his investments in India had been put on hold.
According to sources cited by Bloomberg, New Delhi was aware that Tesla was facing capital constraints at the time, and as a result, did not expect it to make any new investment commitments in India. This could be one reason Musk called off his India visit.
Last year, New Delhi approved a new policy to attract foreign electric vehicle makers, allowing import duty concessions for companies that set up a manufacturing unit with a minimum investment of $500 million.
Previously, imported cars valued at over $40,000 incurred a 100% customs tax, while those under $40,000 faced a 70% import duty. The change in policy was attributed by some industry watchers to Tesla’s lobbying.
China is Tesla’s second-largest market after the US; the country accounted for approximately 33% of the company’s car sales in 2023. However, since Trump returned to the Oval Office, his administration has announced a new 10% tariff on all Chinese products, in addition to existing duties on goods from the country, potentially impacting Tesla.
