Trump Criticizes Tesla’s India Plans
Former US President Donald Trump has raised concerns over Tesla CEO Elon Musk’s reported plan to build a factory in India, calling it “very unfair” to the United States.
High Tariffs on Imported Cars
Trump’s remarks, made in a Fox News interview on Tuesday, highlight India’s steep import duties on foreign cars, which can reach up to 100% on electric vehicles (EVs). He previously discussed the issue with Indian Prime Minister Narendra Modi during a recent visit but noted that their trade negotiations remain unresolved.
Trump’s Statement:
“Every country in the world takes advantage of us, and they do it with tariffs… It is impossible to sell a car, practically, in, as an example, India.”
India’s New EV Policy
In response to criticism from automakers like Tesla, India recently introduced a new EV policy:
✅ Import tax cut to 15% for companies that invest at least $500 million and set up a local factory.
✅ Encourages foreign investment while still promoting domestic manufacturers like Tata Motors.
Tesla’s Expansion Plans in India
According to Reuters, Tesla has already:
🚗 Identified showroom locations in New Delhi and Mumbai.
🚗 Posted job listings for 13 mid-level roles in India.
📌 No Tesla vehicles are currently manufactured in India.
Trump’s Concerns for the US Economy
While acknowledging Musk’s right to expand globally, Trump emphasized the potential impact on the US economy.
“Now, if he built the factory in India, that’s okay, but that’s unfair to us. It’s very unfair.”
Trade Policy & Global Reactions
Trump has long advocated for reciprocal tariffs, arguing that high duties on US imports put American businesses at a disadvantage. His stance has previously sparked trade tensions with key economic partners.
Awaiting India’s Response
India’s foreign ministry has yet to respond to Trump’s remarks, and it remains to be seen how Tesla will balance expansion in India while addressing US concerns.
