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As America’s trade relations with China deteriorate, Musk now eyes India

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Mumbai: Elon Musk is trying to create a big market in India for his Tesla company’s vehicles by picking up bed boxes from China. As part of these efforts, several senior Tesla executives are planning to meet with Indian government officials this week.

Government sources said Tesla’s representatives are also seeking a meeting with officials of the Prime Minister’s Office.

The issue of sourcing parts from India for the Tesla model will also be discussed. The proposed visit assumes significance keeping in mind that Tesla has to make meaningful inroads in India.

Just two days ago a report said that Tesla was forced to recall one million electric vehicles in China.

Elon Musk has criticized India’s policy on high import duty on vehicles and electric vehicles several times in the past. India has also requested that Tesla cars manufactured in China should not be sold here. Government sources also said that in the proposed meeting, Tesla executives intend to request the Indian government to reduce taxes on vehicles.

Any decision by Tesla to buy equipment from India would be welcomed by the Modi government as the present government wants to make India a global manufacturing hub for many items.

The country’s government has already opposed Tesla’s policy of manufacturing vehicles in China and selling them in India.

Trade relations between the US and China are becoming strained, keeping in mind that many US companies are fleeing China to India.