Why Trump does not want Musk to build Tesla factory in India

‘If he (Musk) built the factory in India, that’s okay, but that's unfair to us. It’s very unfair,’ US President Donald Trump said in a recent interview

Washington: US President Donald Trump has said if Elon Musk’s Tesla built a factory in India to avoid that country’s tariffs, it would be unfair to the US.

Trump’s comments came amid moves by him to increase tariffs significantly. On February 13, hours before Prime Minister Narendra Modi’s bilateral meeting with Trump at the White House, the US President announced reciprocal tariffs.

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Trump in a recent interview with Fox News’ Sean Hannity said during their meeting he told Prime Minister Modi that India charges the highest tariffs in the world. Trump said it is “impossible” for Musk to sell a car in India.

“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,” he said.

“..If he (Musk) built the factory in India, that’s okay, but that’s unfair to us. It’s very unfair,” Trump said in the interview.

Musk, who heads the Department of Government Efficiency, was also present during the interview.

A few days back, electric carmaker Tesla opened recruitment for various roles in India, including business operations analyst and customer support specialist. The move is viewed as a sign of the company’s entry into the country.

As per the job postings on the company’s website, the posts are for the ‘Mumbai Suburban’ area.

Trump during the interview said he discussed the issue of tariffs with Modi. “I told Prime Minister Modi… Here’s what you do. We are going to… be very fair with you.” When asked if the tariffs India charged were 36%.

Trump said, “Much much higher.” Musk said, “It’s 100 per cent on — auto imports are 100 per cent.” ‘Here’s what we’re going to do: reciprocal. Whatever you charge, I’m charging,’” President Trump said.

“He (Modi) goes, ‘No, no, I don’t like that.’ ‘No, no, whatever you charge, I’m going to charge.’ I’m doing that with every country.” Musk replied by saying, “It seems fair.”