Tesla Factory in India is Making Donald Trump Unhappy, Calls It Unfair To America

American President Donald Trump has expressed displeasure over Tesla’s plan to set up a factory in India. This company of Billionaire Elon Musk is preparing to set up a factory in the country for exemption in tariffs. Tesla is facing difficulties in big markets like China.

“If you set up a musk factory in India, it is fine but it will be wrong for us.” Recently, during Prime Minister Narendra Modi’s visit to America, Trump raised the issue of more duty in India on the import of cars. Musk also criticized about 100 percent import duty on electric vehicles (EV) in the country. His argument was that more import duty is imposed in India to protect local automobile companies. Earlier this week, Reuters reported in a report that Tesla had chosen two sites for the showroom in New Delhi and Mumbai.

Recently, this American company in India also sought applications from candidates for some jobs. These include jobs related to advertising and customer service. Tesla has sought applications for jobs in Delhi and Mumbai. For the past few years, there have been rounds of conversation between the central government and Tesla. Earlier this month, the government had reduced basic custom duty from 110 percent to 70 percent on cars with more than $ 40,000. India’s EV market is currently in the early stages. Last year, the electric passenger vehicles in the country sold about one lakh units. China is a big market for Tesla. Last year, EV sales in China was about 1.1 crore units.

Last year, the government reduced the tariff to 15 percent on electric cars with a price of over $ 40,000. However, there was a condition with this that companies making electric vehicles would have to start local manufacturing in India with an investment of $ 5 million in three years. Last year, Tesla’s annual sales have declined for the first time in over a decade. Despite the record delivery of EV in the fourth quarter, the company’s sales have declined.