Tesla’s anticipated entry into the Indian market has sparked fresh debate after former US President Donald Trump called the move “very unfair” to America. His remarks came during a joint interview with Tesla CEO Elon Musk on Fox News, where he criticized India’s high import tariffs on electric vehicles (EVs).

Trump recalled raising the issue of India’s tariffs with Prime Minister Narendra Modi during his recent US visit. “It’s impossible to sell a car in India,” he claimed, referring to the country’s previous 100% duty on imported EVs. While India recently reduced import taxes to 15% for carmakers investing at least $500 million and setting up a local factory, Trump argued that an Indian Tesla plant would still be unfair to the US.

“If he [Musk] built the factory in India, that’s okay, but that’s unfair to us,” Trump said, reiterating his stance on reciprocal tariffs. He has long pushed for matching duties on imports from countries that tax American goods, a policy that could trigger global trade disputes.

Despite these concerns, Tesla is moving ahead with its India expansion. Reports suggest the company has shortlisted locations for showrooms in New Delhi and Mumbai and posted job openings for key roles. Tesla is expected to officially enter the market by April 2025, but it does not currently manufacture any vehicles in India.

Tesla’s India entry has faced hurdles due to regulatory challenges and calls for local production. However, with EV adoption gaining momentum and India offering policy incentives, the automaker appears closer than ever to establishing a foothold. Whether Tesla sets up a factory or continues with imports under the revised tax structure remains to be seen.

Tesla’s anticipated entry into the Indian market has sparked fresh debate after former US President Donald Trump called the move “very unfair” to America. His remarks came during a joint interview with Tesla CEO Elon Musk on Fox News, where he criticized India’s high import tariffs on electric vehicles (EVs).

Trump recalled raising the issue of India’s tariffs with Prime Minister Narendra Modi during his recent US visit. “It’s impossible to sell a car in India,” he claimed, referring to the country’s previous 100% duty on imported EVs. While India recently reduced import taxes to 15% for carmakers investing at least $500 million and setting up a local factory, Trump argued that an Indian Tesla plant would still be unfair to the US.

“If he [Musk] built the factory in India, that’s okay, but that’s unfair to us,” Trump said, reiterating his stance on reciprocal tariffs. He has long pushed for matching duties on imports from countries that tax American goods, a policy that could trigger global trade disputes.

Despite these concerns, Tesla is moving ahead with its India expansion. Reports suggest the company has shortlisted locations for showrooms in New Delhi and Mumbai and posted job openings for key roles. Tesla is expected to officially enter the market by April 2025, but it does not currently manufacture any vehicles in India.

Tesla’s India entry has faced hurdles due to regulatory challenges and calls for local production. However, with EV adoption gaining momentum and India offering policy incentives, the automaker appears closer than ever to establishing a foothold. Whether Tesla sets up a factory or continues with imports under the revised tax structure remains to be seen.