India opens the door..! Jackpot for Chinese companies.!?
After the Indo-China data-border issue, many Chinese companies in india left due to various crises, due to various threats, and personal data security of the people, the central government announced that it will investigate every Chinese investment and stop the investments. By this, Chinese automobile mobile companies started and many Chinese companies could not do business in India. In this situation, it has been reported that the central government is opening the door for Chinese companies.
international companies are shifting their production base from china to india and other South east Asian countries due to many reasons like the US-China trade war, Corona, zero Covid policy, and china +1 policy. This has benefited india in a big way, especially as most of the leading companies that have adopted the china +1 policy are making india a new manufacturing base. In this situation, there was an opinion that India's restrictions on Chinese companies and Chinese investments are hindering the establishment of manufacturing bases in important sectors.In this situation, the central government has approved permitting Chinese companies only in the field of high-tech electronics, but information has come out from the government side that all Chinese companies coming to set up production bases in india must be set up in alliance with indian companies.
It has been reported that the central government will also be involved in the process of selecting indian alliance companies, and this restriction is not limited to companies coming to india from china but applies to all high-tech electronics companies coming to india from countries like South Korea, Taiwan, and Vietnam. Companies dominated by Chinese investment can climb into the world.
Although Chinese companies coming to india depending on the high-tech electronics sector are said to be more likely to be approved immediately if they are set up with an alliance of domestic companies with an over-dominance of indian companies in the governing body, official announcements are yet to be made. But Chinese companies can only accept visits from domestic company alliances.It has also been reported that due to the huge potential of the high-tech electronics manufacturing sector in india, the central government has started the work of finding and preparing around 50-60 domestic companies in this sector. The central government is ready to attract Chinese companies that want to invest in India.
Recently, India's leading electronics manufacturer LAVA is in talks with Shanghai-headquartered Huaqin technology to set up a mobile and tablet ODM manufacturing plant. LAVA is the first company to tie up with a Chinese company after the april 2020 Chinese investment ban.