Elon Musk postpones India trip because of ‘very heavy Tesla obligations’

Businessman Elon Musk said on Saturday that he would need to postpone his trip to India for later this year.

“Unfortunately, very heavy Tesla obligations require that the visit to India be delayed, but I do very much look forward to visiting later this year,” he said on X. Musk is the chief executive officer of Tesla, a United States-based electric vehicle manufacturer.

The businessman was expected to visit India on April 22 and was slated to meet Prime Minister Narendra Modi during the trip. His planned visit had led to speculation that he could reveal plans about investments in India by Tesla and about Starlink, his satellite internet venture, offering services in the country.

Starlink is a network of satellites developed by Musk’s spacecraft manufacturing company Spacex. The company has applied for a licence to start satellite communication services in India, according to The Economic Times. The application is pending before the government.

Ahead of Musk’s planned visit, the Union finance ministry on Tuesday notified amended rules under the Foreign Exchange Management Act to allow up to 100% foreign direct investment in some space sector activities.

The notification allowed 100% foreign direct investment into the space sector category of manufacturing and operation of satellites, satellite data products and ground segment and user segment. Up to 74% investment in these categories would be through the automatic route, meaning that it would not require the Centre’s approval. However, investment beyond 74% would require the government’s nod.

Earlier, foreign investment in the manufacturing and operation of satellites was allowed only with the government’s permission.