Modi invites Elon Musk to explore investment opportunities; Tesla chief says planning India visit next year

NEW YORK: Prime Minister Narendra Modi met Tesla chief Elon Musk on Wednesday and invited him to explore opportunities in India for investments in electric mobility and the rapidly expanding commercial space sector.

Speaking to reporters after meeting with PM Modi, Musk, who is also CEO of SpaceX and owner, CTO and chairman of Twitter, said he was incredibly excited about the future of India. He said that India has more promise than any large country in the world.

“In a nutshell, it was a fantastic meeting with the Prime Minister. I like him quite a lot and he visited our factory a few years ago. So we have known each other for a while,” Musk said.

“I am tentatively planning to visit India again next year. I am looking forward to it,” he added.

Musk, responding to questions from reporters, said he was confident that his car company Tesla will be in India “as soon as humanly possible”.

“I would like to thank PM Modi for his support and hopefully, we will be able to announce something in the not-too-distant future,” Musk said.

To a question on when Tesla will be in India, Musk said, “We don’t want to jump the gun with an announcement but it’s quite likely that there will be a significant investment for India in the future.”

In a quick counter question by reporters asking what changed his mind about Tesla’s investments in India, he smilingly said, “I have never changed my mind”.

Tesla was interested in investment in India but “high import duty” structures apparently were a bone of contention. ANI last year reported Musk had requested India to lower taxes and also allow the company to first sell vehicles built elsewhere at a competitive price. Import duty in India is 25 to 100 per cent on completely built unit (CBU) vehicles.

Tesla is reportedly expected to announce the location of its new factory by the end of 2023.

Several global manufacturing companies, aiming to diversify investments out of China as part of diversification of supply chains and geo-political factors, have eyed India as a key investment destination.

“PM Modi really cares about India. He is pushing us to make significant investments in India which is something we intend to do and we are figuring out the right timing,” Musk said on Wednesday.

Talking to reporters, Musk also showed interest in bringing his Starlink services to India.

“We are also looking to bring Starlink to India which could be incredibly helpful for rural areas. The Starlink Internet, which I think can be incredibly helpful for sort of remote or rural villages where they perhaps either may have no access to the Internet or the Internet is very expensive and slow,” Musk said.

Starlink is a satellite-based internet services provider which is operated by Musk’s company SpaceX. India intends to leverage the space sector’s potential by inviting private players into the field.

Over the last two decades, the private sector has played an increasingly important role in other spacefaring countries within the global space economy. Companies have helped reduce costs and turnaround time with innovation and advanced technology.

PM Modi is in the US on a State visit at the invitation of President Joe Biden and first lady Jill Biden. He celebrated the International Day of Yoga at the United Nations Headquarters with the UN leadership and members of the international community.

US President Joe Biden and First Lady Jill Biden will host a State Dinner in honour of the Prime Minister on June 22. The Prime Minister will also address a Joint Sitting of the US Congress on the same day.

On June 23, the Prime Minister will be jointly hosted at a luncheon by US Vice President Kamala Harris and the US Secretary of State Antony Blinken. In addition to official engagements, the Prime Minister is scheduled to have several interactions with leading CEOs, professionals, and other stakeholders.

He will also meet members of the Indian diaspora. (ANI)