Former U.S. President Donald Trump has criticized India’s trade policies, calling them “very unfair” during an interview with Elon Musk. The remarks came as Musk discussed his plans to set up a Tesla factory in India, a significant move in the electric vehicle industry. Trump specifically pointed out the high tariffs imposed by India on imported cars, which he claimed create an uneven playing field for American companies.
During the conversation, Musk highlighted India’s 100% import duty on foreign-manufactured vehicles, which makes Tesla cars significantly more expensive in the Indian market. He argued that such high tariffs make it difficult for international carmakers to compete and expand in India. Despite these challenges, Musk has been in talks with the Indian government to establish a local manufacturing facility, which could help Tesla bypass these import duties.
Trump, who has previously criticized India’s trade policies during his presidency, reiterated his stance that the U.S. should not tolerate such imbalances. He suggested that if elected again, he would take stronger measures to ensure fair trade agreements. His comments reflect broader concerns about India’s protectionist policies, which have been a point of contention between the two nations.
Musk, however, maintained that setting up a Tesla factory in India is a step in the right direction, as it would allow the company to tap into one of the world’s largest and fastest-growing automobile markets. He also noted that local manufacturing would enable Tesla to offer its vehicles at more competitive prices, making them more accessible to Indian consumers. The move aligns with the Indian government’s push for electric mobility and self-reliance in manufacturing.
The discussion between Trump and Musk comes amid growing economic cooperation between India and the U.S., despite differences over trade policies. While Tesla’s India plans are still in the early stages, Musk’s willingness to invest in the country signals a potential breakthrough in trade relations. However, Trump’s criticism highlights the ongoing friction that could influence future negotiations between the two nations.
