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Home » US is pushing Starlink on nations facing tariffs as Musk stands to benefit from trade deals: report – UK Times
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US is pushing Starlink on nations facing tariffs as Musk stands to benefit from trade deals: report – UK Times

By uk-times.com7 May 2025No Comments4 Mins Read
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The Trump administration is pushing nations facing steep tariffs to adopt Elon Musk’s Starlink satellite system, according to The Washington Post.

Two weeks after President Donald Trump announced 50 percent tariffs on products from the small African country of Lesotho, its communications regulator met with people from Starlink, which SpaceX owns.

Starlink had been looking to get access to customers from the country; however, the company was only handed a 10-year internet service license in Lesotho after Trump revealed the tariffs and called for trade negotiations.

“As the government of Lesotho negotiates a trade deal with the United States, it hopes that licensing Starlink demonstrates goodwill and intent to welcome U.S. businesses,” an internal State Department memo said, according to The Post.

Musk’s company also signed distribution agreements with two Indian providers in March, and it has been at least partially accommodated in Somalia, the Democratic Republic of Congo, Bangladesh, Pakistan, and Vietnam.

The paper obtained a number of internal government messages that outline how U.S. embassies and the State Department have urged countries to remove obstacles for American satellite companies, and they often mention Starlink by name.

People stand at Griffith Observatory in LA as they view a SpaceX Falcon 9 rocket carrying a payload of 22 Starlink internet satellites into space, after launching from Vandenberg Space Force Base, on March 18, 2024. Some countries have fast-tracked regulatory approvals for Starlink as they may enter trade negotiations with the U.S.
People stand at Griffith Observatory in LA as they view a SpaceX Falcon 9 rocket carrying a payload of 22 Starlink internet satellites into space, after launching from Vandenberg Space Force Base, on March 18, 2024. Some countries have fast-tracked regulatory approvals for Starlink as they may enter trade negotiations with the U.S. (Getty Images)

However, the documents do not show that the White House has been asking for favors for the satellite company in exchange for tariff relief. They suggest that Secretary of State Marco Rubio has told officials that they should urge countries to enact regulatory approvals for the satellite company. This comes as the White House is arguing for trade talks.

The Biden administration also urged embassies to adopt Starlink and other satellite internet services, cables obtained by The Post reveal.

However, no deals have been struck since the Trump tariffs were announced.

Even so, Indian officials have fast-tracked Starlink approvals with the idea that it would help them get trade deals with the U.S.

“It’s not likely to be an explicit element of the trade negotiations with the U.S., but the Indian side sees this as an important lubricant that facilitates a deal,” one person briefed by Indian leadership told The Post.

The State Department told the paper in a statement that “Starlink is an American-made product that has been game-changing in helping remote areas around the world gain internet connectivity. Any patriotic American should want to see an American company’s success on the global stage, especially over compromised Chinese competitors.”

“The only consideration in the Trump administration’s trade negotiations with other countries is what’s best for the American people — which includes American companies succeeding at home and abroad,” White House spokesperson Kush Desai told The Post. “President Trump will not tolerate any conflicts of interest, and every administration official is following ethical guidelines set by their respective agencies.”

However, some experts who spoke to the paper said the actions make sense as the U.S. competes with China in the area of worldwide telecommunications, and Starlink is the top actor in satellite internet connectivity both in the U.S. and globally.

Foundation for American Innovation senior fellow Evan Swarztrauber told The Post, “When Elon’s name is attached to anything, there’s all sorts of feelings. But if he weren’t the CEO of SpaceX, I don’t think most people would have a problem with the U.S. government advocating for American companies to get international market access.”

He added: “We want American satellite companies to do well abroad, especially as our main competition is China. The U.S. has a lead in space, and we should double down on getting other countries to grant regulatory approvals for our companies. Otherwise, it will be Chinese companies that benefit from market access.”

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