Elon Musk.
LEON NEAL/Getty Images

  • Elon Musk won’t be going to India this month.
  • Musk cited “heavy Tesla obligations” in an X post on Saturday. 
  • Tesla has faced Cybertruck recalls, layoffs, and rival competition in recent months.

Elon Musk has postponed his trip to India amid the ongoing chaos at Tesla.

Musk announcement the decision via X — the social media site he purcahsed two years ago — on Saturday. The Tesla CEO was expected to visit India early next week to meet with Prime Minister Narendra Modi.

“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.

Elon Musk.
Antonio Masiello via Getty Images

Musk didn’t publicly share many details about the trip, but sources told Reuters he planned to announce a $2 to $3 billion investment in India. Musk wants to build a new factory in India, where the EV market is tiny but gaining steam, thet outlet reported.

Musk hinted at India’s growing EV market in an X post last week.

“India commits to sell only electric cars by 2030. It is already the largest market for solar power,” he wrote.

Musk’s decision to postpone coincides with Tesla sharing its Q1 earnings on April 23, when Musk and investors will reckon with the company’s tumultuous start to 2024.

BI reported in early April that Musk’s Tesla has struggled to compete in China’s EV market as rival companies make “aggressive price cuts.” An equities strategist told BI that Tesla’s troubles in China likely contributed to the company’s first-quarter delivery miss.

Tesla recently announced layoffs.
Justin Sullivan

Around that time, Tesla stock slid 7%.

By mid-April, Musk announced that Tesla would layoff 10% of its global workforce in an internal memo to staff. The recent layoffs were further bogged down by reports that some employees received “incorrectly low” severance packages. Another round of layoffs hit its recruiting department on Friday.

Tesla also recently recalled almost 4,000 of its Cybertrucks over faulty accelerator pedals. Musk wrote on X that Tesla was unaware of any “injuries or accidents” related to the problem.

“We are just being very cautious,” Musk wrote.

Musk did not immediately respond to a request for comment from Business Insider.

Source link