US President Donald Trump has criticized Elon Musk’s decision to set up a car manufacturing unit in India, calling it “unfair” to the United States. During a joint interview with Fox News presenter Sean Hannity, Trump argued that high tariffs imposed by India on imported goods make it impossible for Tesla cars to be sold in the country. However, if Musk sets up a factory in India, it would be unfair to the US.
Trump acknowledged that India has reduced its import duty for electric vehicles and offered concessions for companies that invest ₹500 million over five years. This move is expected to pave the way for Tesla’s entry into the Indian market.
The US president has previously discussed this issue with Prime Minister Narendra Modi, suggesting a reciprocal tariff policy. However, he expressed willingness to finalize an early trade deal to resolve the dispute between India and the US. Musk agreed that setting up a factory in India would be “very unfair” to the US.
Source: https://www.opindia.com/2025/02/trump-terms-musks-decision-to-set-up-tesla-plant-in-india-as-unfair-to-the-us