The CEO in a post on X said, “Unfortunately, very heavy Tesla obligations require that the visit to India be delayed, but I do very much look forward to visiting later this year.”
Musk was scheduled to meet Prime Minister Narendra Modi early next week. He was also scheduled to meet senior officials from the state governments where Tesla might set up an electric vehicle assembly unit and other space-tech startup executives.
Musk had tweeted on April 10 that he was looking forward to meeting PM Narendra Modi.
“Looking forward to meeting with Prime Minister Narendra Modi in India!” The CEO had said.
It was reported that the CEO was likely to announce an investment in India of $2-$3 billion, mainly for building a new factory.On Musk’s visit, PM Modi had said, “I want investment to come in India because in India, it doesn’t matter who has invested money, (but) the sweat put into the work must be of our own people. The product should have the essence of our soil, so that our youth in the country will get employment opportunities.”Musk’s upcoming visit to India came weeks after the Indian government announced a new electric vehicle policy under which import duty concessions will be given to companies setting up manufacturing units in the country with a minimum investment of $500 million, a move aimed at attracting major global players like Tesla.
As per the policy, the companies that would set up manufacturing facilities for EV passenger cars will be allowed to import a limited number of cars at lower customs /import duty of 15 per cent on vehicles costing USD 35,000 and above for a period of five years from the date of issuance of the approval letter by the government.
At present, cars imported as completely built units (CBUs) attract customs duty ranging from 70 per cent to 100 per cent, depending on engine size and cost, insurance and freight (CIF) value less or above $40,000.
