Elon Musk stands out as a beneficiary of Trump’s tariffs. His satellite internet venture, Starlink, has drawn fresh interest from countries looking to dodge or soften the impact of Washington’s trade penalties.
Two weeks after President Trump announced his reciprocal tariffs, slapping Lesotho with a 50% tax on imports, the Washington Post reported that officials in the tiny African kingdom quietly met with Starlink representatives.
The meeting led to a deal, making Starlink the first satellite internet provider in Lesotho. The tariff calculation left Lesotho and a handful of other nations looking for alternatives.
Starlink’s deal with Lesotho was not the only one
Around the same time, the tariffs were rolled out, Starlink secured agreements in Bangladesh, the Democratic Republic of Congo, India, Pakistan, Somalia, and Vietnam. Governments eager to ease trade discussions with the U.S. appear to see satellite internet as a useful tool for bargaining.
An internal State Department memo obtained by the Washington Post stated, “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,” the note read.
The Trump administration has actively encouraged deals with American satellite internet firms. Starlink, being the most prominent U.S. player in the field, has received the benefits.
In India, for example, regulators reportedly fast-tracked approvals for Starlink in a clear bid to smooth over broader trade talks with Washington.
“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,” said one person familiar with the matter.
Tariffs push nations to pick Starlink over Chinese rivals
Chinese firms are moving quickly to offer rival satellite internet services, and Washington wants to secure markets before Beijing’s contenders can take hold. By announcing tariff threats, the administration is effectively nudging countries toward U.S. technology providers.
When asked about these efforts, the State Department said, “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.”
On April 17, another comment by the U.S State Department revealed that Starlink was seeking a license in Djibouti and that embassy staff would “continue to follow up with Starlink in identifying government officials and facilitating discussions.”
Evan Swarztrauber, a senior fellow at the Foundation for American Innovation, noted, “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.”
Analysts also see big financial upside. Kimberly Siversen Burke of Quilty Space estimates that capturing just 1% of India’s broadband market could bring in nearly $1 billion a year, with similar potential in Latin America and Africa.
At the same time, African officials struggle to tell whether the pressure to approve Starlink is coming from the U.S. government itself or directly from Elon Musk’s company.
W. Gyude Moore of the Center for Global Development pointed to South Africa, where new U.S. pressure and Starlink’s push for approval arrived almost simultaneously. “If you were a South African government official, you’d find it hard to disentangle,” he said.
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This articles is written by : Nermeen Nabil Khear Abdelmalak
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