Elon Musk, CEO of Tesla, recently stated that he is “extremely thrilled about the future of India,” adding that the country has “more pledge than any big nation worldwide.”
“I am a fan of Modi,” Musk said in an interview posted Tuesday on Prime Minister Narendra Modi’s official YouTube channel.
He hopes to do what’s best for India. After their meeting in New York, the CEOs of Tesla and SpaceX said, “He wants to be open, he wants to be encouraging of new business, but at the same time make sure it accumulates to India’s benefit.”
When Modi visited Tesla’s Fremont Factory in California in 2015, Musk was there to greet him.
On his first official visit to the United States, India’s prime minister will meet with senior American officials and businesspeople to discuss defence, innovation, and India’s role in the Indo-Pacific.
It is expected that Modi will meet a number of magnates, including Apple’s Tim Cook, Google’s Sundar Pichai, and Microsoft’s Satya Nadella, at a White House dinner hosted by Vice President Joe Biden on Thursday.
Musk said that Modi “actually appreciates India” because he is “pressing us to make substantial financial investments in India,” which is something the company plans to do but is still trying to determine the “best timing” for.
Purchasing India
One expert told CNBC that India has great potential for Tesla.
According to Nilesh Shah, managing director at Kotak Mahindra Asset Management, “every single U.S. company that has a recognised subsidiary in India has seen greater growth and value production in India.”
When creating a partnership between the United States and India, “U.S. financiers will be assured that developing a U.S.-India collaboration will be a real great deal for both nations,” he added.
The CEO of the electric vehicle manufacturer claimed that Tesla’s investments would aim to boost India’s sustainable energy generation, specifically through solar and wind.
The solar industry in India is booming. You don’t need a lot of land to generate enough electricity to supply all of India’s needs. Probably just 1 or 2 percent of India’s land area, but that’s still very doable.
Investment is also being made in stationary battery systems and electric trucks.
Because “Tesla’s fate in China will be like that of other American cars and truck producers who ended up being beaten by Chinese rivals,” India will be an attractive market for Tesla, Shah said.
Musk further declared his desire to improve India’s internet connection by introducing SpaceX’s Starlink satellite internet service to the South Asian nation.
This can be “extremely useful for remote or rural towns where they possibly might not have access to [the] web or the web is extremely expensive and sluggish,” as Musk put it.
Musk said Modi invited him to visit India, and he plans to go there possibly as soon as next year.
During his trip to the Big Apple, Modi crossed paths with the likes of renowned astronomer Neil deGrasse Tyson of the United States, billionaire investor Ray Dalio, and Grammy-winning singer Falguni Shah.
CNBC’s Charmaine Jacob
CNBC’s Singapore office is home to digital news partner Charmaine Jacob.