Musk Hints at ‘Significant Investment’ in India After Meeting With Modi

Elon Musk speaks at the 2020 Satellite Conference and Exhibition in Washington, D.C., on March 9, 2020. Win McNamee/Getty Images

Tesla CEO Elon Musk has signaled interest in making a “significant investment” in India, after meeting with Indian Prime Minister Narendra Modi in New York on June 20.

Musk told reporters that he had an “excellent conversation” with Modi and suggested that he would bring his electric vehicle manufacturing business to the world’s most populous country, but didn’t provide further details.

“I’m confident that Tesla will be in India, and we'll do so as soon as humanly possible,” Musk told reporters after the meeting, according to a video published on Twitter by Indian news agency ANI.

“We do not want to jump the gun on an announcement, but I think it’s quite likely that there will be a significant investment, a relationship with India,” he added. Musk also announced his plan to visit India next year.

Modi, who is on a four-day visit to the United States, invited Musk to explore opportunities in India for investments in electric mobility and to expand the commercial space sector, according to his office.

His office stated that Modi appreciated Musk’s efforts “at making technology accessible and affordable in various sectors.”

Musk said that he sees India’s potential for a sustainable energy future, including solar power, stationary battery packs, and electric vehicles. He also aims to bring SpaceX’s Starlink satellite internet service to India.

The electric carmaker’s renewed interest in India follows nearly a year after it put on hold plans to sell cars in the country after failing to secure lower import taxes, which Musk said are among the highest in the world.

India is the world’s third-largest automobile market. Modi’s administration has set an ambitious target of having electric vehicles account for 30 percent of India’s total car sales by 2030.

US Seeks Stronger Ties With India

Modi’s visit is occurring amid an ongoing rivalry between the United States and China in the Indo-Pacific. India recently surpassed China as the world’s most populous country, indicating a potential shift in their global status.

National Security Council spokesman John Kirby emphasized that Modi’s visit to the United States isn’t intended to counter China’s influence, but rather to boost bilateral relations with India.

“It’s not about forcing or coercing or trying to convince Prime Minister Modi or the Indian government to do something different. It’s about focusing on where we are in this relationship and making it more important, more robust, more cooperative going forward.”

U.S. lawmakers have also invited Modi to address a joint session of Congress, which they said would allow Modi to share his vision for India’s future and “speak to the global challenges our countries both face.”

It would be Modi’s second speech to a joint session of the U.S. Legislature, a rare honor for a leader who was once denied a visa to enter the United States over human rights concerns.

“We look forward to paving the way for greater collaboration between our countries in the years to come,” the lawmakers said in a letter signed by House Speaker Kevin McCarthy (R-Calif.), Senate Majority Leader Chuck Schumer (D-N.Y.), Senate Minority Leader Mitch McConnell (R-Ky.), and House Minority Leader Hakeem Jeffries (D-N.Y.).

Reuters contributed to this report.