By Aditi Shah, Aditya Kalra and Sarita Chaganti Singh
NEW DELHI (Reuters) – Tesla chief Elon Musk postponed a planned trip to India where he was due to meet Prime Minister Narendra Modi on Monday and announce plans to enter the South Asian market, four people familiar with the matter said on Saturday .
Reuters could not immediately determine why Musk postponed the trip. Tesla and Modi’s office did not immediately respond to requests for comment.
After Reuters reported his India travel plans on April 10, the CEO posted on X: “Looking forward to meeting Prime Minister Narendra Modi in India!”
In New Delhi, Musk was expected to announce an investment of $2 to $3 billion, mainly to build a factory in India, after the government announced a policy to reduce high tariffs on imported cars if companies invest locally, Reuters reports.
He was also expected to meet executives of several space startups in New Delhi. Musk is awaiting approval from the Indian government to offer his Starlink satellite broadband services in the world’s most populous country.
Musk’s planned arrival on Sunday would come two days after the start of the Indian elections, in which Modi is expected to win a rare third term.
The CEO and the Prime Minister are both at critical junctures.
In his election campaign, Modi wants to highlight progress towards promises to make India a global manufacturing hub. Tesla could have used the India announcement to reassure investors after months of share price declines and the April 15 news that the company would lay off more than 10% of its global workforce.
Rohan Patel, a policy officer at Tesla who sources said was among those leading the company’s entry plans for India, also resigned this week.
(Reporting by Aditi and Shah Aditya Kalra; Editing by William Mallard)
