New Delhi, India – Tesla CEO Elon Musk has delayed his trip to India, where he was scheduled to meet with Prime Minister Narendra Modi. The decision came as Tesla is expected to announce its worst performance in seven years due to declining global demand for electric vehicles and increasing competition from Chinese companies. Musk cited pressing responsibilities at Tesla, which is set to report quarterly results soon, as the reason for postponing his visit.
The billionaire entrepreneur was anticipated to unveil plans for a $2-3 billion investment in India, primarily focusing on constructing a new manufacturing plant. However, with Tesla struggling to meet market expectations in terms of sales and facing price pressure from competitors, Musk had to prioritize his commitments at the company. This setback adds to the challenges Tesla has been grappling with, including recent job cuts affecting over 10% of its workforce.
Analysts are closely watching Tesla’s performance amid concerns about growth in China, the development of a more affordable electric car dubbed the “Model 2,” and potential implications of shifting focus to self-driving robotaxis. As Tesla’s shares continue to decline, investors are looking to Musk for reassurance about the company’s future direction and strategy.
Despite the deferred India visit, Musk remains optimistic about his plans to expand Tesla’s presence in the country. He was also scheduled to engage with executives from space industry startups during his trip to New Delhi. Additionally, Musk is awaiting regulatory approvals from the Indian government to launch his Starlink satellite broadband service in India, highlighting his broader ambitions beyond the automotive industry.
The postponement of Musk’s visit underscores the challenges facing Tesla as it navigates a turbulent period in the electric vehicle market. With mounting pressure from competitors and internal restructuring efforts, Musk will need to address investors’ concerns during Tesla’s upcoming conference call, which analysts describe as a “moment of truth” for the company. Despite uncertainty surrounding Tesla’s current performance, Musk remains determined to drive innovation and expansion in the electric vehicle industry.