Tesla and SpaceX CEO Elon Musk visited Indonesia to officially launch the Starlink satellite internet service in the island nation. This visit is expected to pave the way for Starlink’s expansion into Sri Lanka, as Musk was seen exploring opportunities with Sri Lanka’s President Ranil Wickremesinghe.
Musk’s Indonesian visit follows closely on the heels of his surprise trip to China and comes nearly a month after he cancelled a planned visit to India. Musk’s trip to India, initially scheduled for April 20-22, was called off at the last moment, leaving Tesla’s entry into the Indian market uncertain. According to a PTI report, Tesla has not yet communicated its plans to the Indian government.
“They (Tesla) are just silent. The (EV) policy was always meant for everybody,” a government official told PTI.
Musk cited heavy obligations for the abrupt cancellation of his India visit in May, promising to reschedule 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,” Musk wrote on X.
Musk’s India visit was anticipated to bring significant announcements, including plans for a $2-3 billion EV factory and developments related to Starlink. He was also expected to meet with executives from various space startups in Delhi. However, regulatory approvals for initiating Starlink services in India remain pending. The cancellation came days after Tesla’s public policy executive, Rohan Patel, who was instrumental in the India entry plans, resigned.
Amid declining profit margins, Tesla is focusing on utilizing its existing factories to produce new, more affordable vehicles by late this year. This strategy may delay investments in new factories in Mexico and India. “This update may result in achieving less cost reduction than previously expected but enables us to prudently grow our vehicle volumes in a more capex efficient manner during uncertain times,” a Tesla official told Reuters.
Musk’s surprise visit to China, shortly after cancelling his India trip, allowed Tesla to clear regulatory hurdles for the launch of its self-driving software in the Chinese market.
