Will Elon Musk 'betray' Donald Trump by setting up a Tesla factory in India?
The world's largest electric vehicle company Tesla is now fully ready to come to India. Elon Musk has been trying to enter Tesla in India since 2022. Meanwhile, recently Prime Minister Narendra Modi and Elon Musk met in America, and in less than a week, Tesla has started the process of leasing space and hiring staff for its showroom in India. But is Elon Musk going to 'betray' US President Donald Trump with this? Why has Donald Trump called this move of Elon Musk 'Very Unfair'?
Elon Musk's complaint regarding India's entry has always been that the import duty here is very high. Now India has changed its EV policy, according to which Tesla can bring up to 8000 cars every year to India by paying only 15 percent import duty. However, for this, it will have to invest at least $500 million in India and commit to setting up its assembly line (factory).
Will Musk betray Trump by opening a factory in India?
US President Donald Trump has given a statement on Elon Musk's move to enter Tesla in India. Donald Trump and Tesla owner Elon Musk were recently giving an interview to American television presenter Sean Hannity. During this, Donald Trump said that if Elon Musk sets up a factory in India, it would be unfair to us... very unfair.
Donald Trump has been very vocal about the high tariffs imposed by other countries on American products. During this conversation, he said, "Every country in the world took advantage of us. They did this by imposing tariffs. It is almost impossible for him (Elon Musk) to sell cars there. India charges 100% import duty." (Elon Musk also agreed with him.)
According to a White House report, India attracts a 100 percent tariff on importing motorcycles from the US, while the US levies only 2.4 percent tax on importing motorcycles from India.
Donald Trump said that in such a situation, if they set up a factory in India, it might be good for them, but it would be very unfair to us.
Musk is very powerful in Trump's government
This statement of Donald Trump has come at a time when Elon Musk has been given a very powerful role in his government. The Trump government has created the 'Department of Government Efficiency', whose head has been made Elon Musk. This department is scrutinizing almost all the departments of the US government and is working to expose the financial irregularities happening there and reduce government expenditure.
What will happen to Make In America?
Recently, when Donald Trump was addressing the 'World Economic Forum' in Davos, Switzerland, he called upon companies from all over the world to make 'products in America' (Make in America). Otherwise, he asked the companies to be ready to face his retaliatory tariff policy. In such a situation, will Elon Musk setting up a Tesla factory in India be a 'betrayal' of Donald Trump's 'Make in America' policy?