A rare split opened between Musk and Trump over Tesla's plan to build its presence in India
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President Donald Trump said it'd be "unfair" if Tesla were to open a factory in India.Tesla is looking to build a presence in India, posting job ads for showroom workers this week.It has long been speculated that Tesla may have plans to build a production facility in India.Donald Trump said it would be "unfair" to the US if Elon Musk opened a Tesla plant in India highlighting a rare point of difference in an interview designed to showcase the closeness of the president and his billionaire advisor.Speaking to Fox News in an interview alongside Musk that aired Tuesday, Trump criticized India's tariff policy, under which electronic vehicles face import duties of up to 100% in some cases to shield domestic producers.Trump said it is "impossible" for Musk to sell a car in India because of its duties on some US imports."Every country in the world takes advantage of us, and they do it with tariffs... It is impossible to sell a car, practically, in, as an example, India," he said."Now, if he built the factory in India, that's OK, but that's unfair to us. It's very unfair," Trump said of Musk.Trump went on to say that last week, in discussions with India's Prime Minister Narendra Modi in Washington, DC, he threatened to impose reciprocal tariffs on India if it continues to impose high tariffs on US goods."It's it's like fair is fair," Musk commented approvingly.Tesla has long been seeking to build its presence in India which is projected to be the world's fourth-biggest economy this year. The country's protectionist tariffs, however, have proved a major obstacle.In 2024, India said it'd lower EV tariffs for companies prepared to invest in manufacturing in the country, fuelling speculation that Tesla could build a production facility there. Musk was expected to announce a major investment during a trip to India in April 2024 but postponed the trip when Tesla announced plans to lay off 10% of staff.This week, Tesla posted job ads for openings in showrooms in New Delhi and Mumbai. Reuters reported earlier in the week that Tesla had chosen locations in both cities for the showrooms.As of Thursday morning, more than a dozen roles at Tesla were open in India, the company's jobs site showed. Many of the roles listed both Mumbai and Delhi as possible working locations.Musk's ambitions to expand Tesla's presence in India may put him at odds with Trump, who has championed a tough tariff regime to boost domestic manufacturing.As the world's richest man and the force behind firms including Tesla, X, and SpaceX, Musk's closeness to Trump and reported involvement in key administration decisions has sparked concerns about potential conflicts of interest.Musk is among Trump's closest political advisors and oversees the newly formed Department of Government Efficiency, which is seeking to slash federal spending.Trump last week said he didn't know if Musk had met with Modi during his US visit in his capacity as a CEO or government advisor, but said he was personally monitoring potential conflict of interest issues."He won't be involved," Trump said of Musk in situations where there's a potential conflict during Tuesday's interview.Tesla did not immediately respond to a request for comment from Business Insider.
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