Elon Musk and Modi Talk About Tech Cooperation Before Important US-India Trade Negotiations

India wants closer connections with the US after trade difficulties, and PM Modi and Musk are looking into tech alliances.

Speaking with tech billionaire Elon Musk on Friday, Indian Prime Minister Narendra Modi said he discussed India’s increasing potential for cooperation with the US in “technology and innovation.” The discussion comes at a critical juncture in US-India trade relations.

Modi and Musk discussed issues from their previous meeting in Washington, he said in a post on X, emphasizing their mutual desire to strengthen their relationship in the innovative industry. Modi wrote, “We talked about the tremendous potential for cooperation in the fields of technology and innovation.” 

“In these areas, India is still dedicated to strengthening our collaborations with the United States.”

The discussion is thought to have been carefully planned, given it takes place just days before US Vice-President JD Vance’s four-day official visit to India. Former President Donald Trump’s close supporter Vance is set to meet with Modi on April 21 to talk about geopolitical and economic alliances. Along with him will be his spouse, Usha Vance, whose family hails from the Andhra Pradesh state of India, as well as their kids.

In part, India is attempting to protect itself from the possible economic effects of Trump’s newly announced 27% tariffs on Indian imports by negotiating a bilateral trade agreement with the US. Delhi and Washington are rushing to wrap up trade talks before the window ends, despite Trump’s subsequent 90-day halt on tariffs.

As the chairman of the US Department of Government Efficiency (DOGE) and the CEO of SpaceX and Tesla, Elon Musk has long indicated an interest in breaking into the Indian market. Musk’s Starlink satellite internet business inked contracts with two of India’s biggest telecom companies in March. For Starlink to start operations, final regulatory permission is still pending.

In addition, Tesla is setting the stage for its eagerly awaited Indian debut. According to reports, the electric carmaker is looking for showroom locations in both Delhi and Mumbai and has started hiring for jobs in both cities.

India’s larger objective of using high-tech collaborations to foster domestic innovation and establish its position as a major player in developing industries is reflected in Modi’s outreach to Musk. 

These goals are anticipated to be strengthened by Vice-President Vance’s impending visit, as both countries look to rebalance international economic alliances and offset China’s influence.