Could Elon Musk’s newfound political influence help him finally crack India?

Elon Musk, the billionaire entrepreneur behind Tesla and SpaceX, has long sought to expand his business empire into India. However, despite years of negotiations and interest, Tesla has struggled to establish a strong foothold in the world’s most populous country. Now, with Musk’s growing political influence and closer ties to global leaders, could his fortunes in India finally change?

Musk’s Struggles in Entering the Indian MarketT

esla has been eyeing the Indian market for years, but multiple roadblocks have hindered its entry. High import duties, regulatory hurdles, and the Indian government’s push for local manufacturing have complicated Tesla’s plans. Musk has previously expressed frustration over India’s policies, particularly the country’s steep tariffs on imported electric vehicles (EVs), which he claims make Tesla’s cars uncompetitive.

Additionally, India has been focused on strengthening its domestic EV industry, favoring local manufacturers like Tata Motors and Mahindra over foreign companies. The government has insisted that Tesla set up local production facilities if it wants to avoid heavy taxes, a demand Musk has been hesitant to commit to without clearer incentives.

Musk’s Political Influence: A Game Changer?

In recent years, Musk has expanded his political reach, engaging with world leaders on key business and technological issues. His influence in the U.S. government has grown, particularly with his role in critical industries like artificial intelligence, space exploration, and electric vehicles.

Now, Musk appears to be leveraging this influence on the global stage, including in India. Reports indicate that Tesla is once again in talks with Indian officials, with negotiations potentially gaining momentum. Musk’s ability to form strategic relationships with influential leaders—along with his companies’ growing geopolitical significance—could give him the leverage needed to strike a deal with India’s government.

India’s Changing Stance on Tesla

India has been gradually shifting its approach toward Tesla. Recent reports suggest that the Indian government is considering lowering import duties on EVs to attract foreign investment, a move that could directly benefit Tesla. Additionally, India’s push for clean energy and sustainability aligns with Tesla’s mission, making the country an attractive long-term market.

Prime Minister Narendra Modi has previously met with Musk, and there have been signs of warming relations. If Musk can use his political influence to negotiate favorable terms—such as reduced tariffs or incentives for setting up local production—Tesla may finally gain a foothold in India.

While Musk’s growing political clout could improve Tesla’s chances in India, challenges remain. The Indian government will still prioritize its domestic EV industry, and Musk will need to balance Tesla’s expansion goals with local manufacturing demands.

If a deal is reached, it could mark a major breakthrough for Tesla, unlocking one of the world’s largest automobile markets. For now, all eyes are on Musk and his ability to navigate the complex political and business landscape of India.