Elon Musk has postponed a key trip to India that was scheduled for discussions with Prime Minister Narendra Modi.
Citing pressing responsibilities at Tesla, Musk announced his intention to reschedule the visit for later in the year.
He expressed his regret on his X social media platform: “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.”
This delay was first reported by Reuters, which cited four sources familiar with the developments.
Musk’s visit was highly anticipated as it was expected to include a significant announcement about Tesla’s entry into the South Asian electric vehicle (EV) market.
Both Musk and Modi are at pivotal moments in their respective roles.
For Tesla, the planned announcement in India could have been a strategic move to bolster investor confidence amid a challenging period marked by a declining share price and recent workforce reductions.
On April 15, it was revealed that Tesla would lay off over 10% of its global staff.
Adding to Tesla’s challenges, there have been concerns regarding slowing sales and increased competition, particularly from Chinese EV manufacturers.
These issues are likely to be topics of discussion when Tesla presents its quarterly results.
Furthermore, there has been considerable speculation about the status of Tesla’s upcoming affordable EV model, often referred to as the Model 2.
After a report by Reuters on April 5 claiming that development had been halted, Musk countered on X, stating, “Reuters is lying,” without further clarification.
Amidst these corporate upheavals, a key executive involved in Tesla’s India expansion, Rohan Patel, also resigned recently, adding another layer of complexity to Tesla’s operations.
Musk’s trip was also set to coincide with the beginning of India’s national election, where Modi is a strong contender for a third term.
Modi’s campaign has focused on transforming India into a global manufacturing powerhouse.
Musk’s visit was expected to align with this vision, potentially featuring a $2 to $3 billion investment to establish a manufacturing facility in India.
This investment was anticipated following the Indian government’s initiative to reduce tariffs on imported cars for companies investing locally.
Additionally, during his visit, Musk was slated to meet with executives from various Indian space startups and discuss regulatory approvals for his Starlink satellite broadband services, highlighting the broad scope of his planned engagements in India.