Elon Musk to Meet PM Modi in April, Tesla CEO Likely to Unveil India Investment Strategy: Report

Musk-Modi visit in April: Tesla CEO Elon Musk is scheduled to visit India later this month for an important meeting with Prime Minister Narendra Modi. Citing two sources, news agency Reuters said that Musk intends to unveil plans related to investments and setting up new factories in the country during his visit. Musk is scheduled to meet Prime Minister Modi in New Delhi during the week of April 22. He is also expected to make a separate public announcement about Tesla’s ambitions in India. According to one of the sources, Musk will be accompanied by other top executives of the company. Neither the PMO nor Tesla responded to a request for comment on the matter, Reuters said. It’s worth noting that Musk’s final agenda for the trip could potentially change.

Kasturi-Modi meeting
The next meeting between Musk and Modi follows their last meeting in New York in June. Over the past few months, Tesla has been actively engaging with Indian authorities by advocating for a reduction in import taxes on electric vehicles as part of its consideration of setting up a manufacturing facility in India. India recently unveiled a new EV policy, reducing import tax on select models from 100 percent to 15 percent if the manufacturer invests at least $500 million and sets up a local factory.

Earlier reports from Reuters indicated that Tesla executives will inspect potential sites for manufacturing plants during their visit to India this month. The estimated investment for such a facility is around $2 billion. Additionally, sources have revealed that Tesla has started production of right-hand drive vehicles at its German plant, targeting exports to India later this year.In a recent statement, Musk mentioned the importance of introducing electric cars in India, saying, “India should have electric cars like every country has electric cars. It is a natural progression to offer Tesla electric vehicles in India.”

EV demand
Tesla’s expansion into the Indian market has coincided with stiff competition from Chinese automakers, along with sluggish demand for EVs in its primary markets of the US and China. The company reported a decline in first-quarter deliveries, which fell short of analyst expectations.

Although India’s EV market is relatively small, it is growing steadily, with Tata Motors currently dominating the sector. EVs accounted for just 2 percent of total car sales in 2023, but the government aims to increase this figure to 30 percent by 2030.