Photo : Reuters
Tesla has started hiring workers in India, showing that it may soon sell cars in the country. But former US President Donald Trump is not happy about this. In a TV talk with Tesla’s owner Elon Musk, Trump said it is "very unfair" if Tesla builds a car factory in India instead of America.
Trump said India puts very high taxes on cars that come from other countries. He said this makes it very hard for American car makers to sell their cars in India. He also said that when India’s leader, Prime Minister Narendra Modi, came to the US, they talked about these high taxes. Both agreed to work on a trade deal, but Trump still thinks India is not fair to US companies.
A few months ago, India changed its car rules to invite big companies to start business there. Now, if a company spends at least $500 million and builds a factory in India, it will only pay 15% tax on cars that come from other countries. Before, this tax was 100%. This new rule makes it easier for car makers from other countries to sell cars in India.
Trump said Elon Musk can make a factory in India if he wants, but he feels this will hurt the US. He thinks American companies should build their products in their own country instead of moving to other places.
Tesla has wanted to come to India for a long time, but high taxes and rules made it hard. Musk has said many times that India’s high taxes protect local car brands like Tata Motors and make Tesla cars too costly for Indian people.
During Modi’s visit to the US, he met Musk to talk about Tesla’s plans for India. Reports say Tesla is getting ready to start business in India soon. The company is looking for places to open car showrooms in New Delhi and Mumbai. It has also started hiring workers for different jobs in India. But Tesla has not built a factory there yet.
Trump’s words about Tesla’s India plans show his bigger trade ideas. He believes that the US should put the same taxes on other countries as they put on American goods. He said this will make other countries lower their high taxes. Some people think his idea will help US businesses, but others worry it may create trade problems with other nations.
Now that Tesla is hiring in India and the Indian government is making business easier, it looks like Tesla will soon start selling cars there. But Trump’s comments show that this may also create some problems between the US and India. Tesla’s next steps will not only change the car market but may also affect trade relations between the two countries.
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