China is getting desperate to enter the Indian market, permission may be granted with limited investment

News Topical,Digital Desk : Affected by the Trump government's tariff policy, Chinese companies are showing interest in investing in India in the electronics sector. According to sources, Chinese companies may be given the opportunity to make joint investments with Indian companies in electronics components, but Chinese companies will also have to agree to transfer technology.

According to sources, Chinese companies may be allowed to have a maximum stake of 10 percent in Indian companies in the electronics components sector. However, a final decision on this has not been taken yet.

After the Trump government's tariff policy, Chinese companies have started liking both the Indian market and business. Chinese companies are even agreeing to train Indian engineers in order to sell their machines in India.

America deferred tariffs against India till July 9 

The Trump government has imposed a 145 percent duty on China while India currently has a duty of only 10 percent. The US has imposed a reciprocal duty of 26 percent on India, but now it has been postponed till July 9 and if a bilateral trade agreement is reached with India, Indian goods can be duty free in the US market.

Looking at this environment, Chinese electronics companies want to start business with Indian companies. Sources say that Chinese companies want to invest in Tata's Voltas company. Recently, the government has brought a scheme for manufacturing electronics components and Chinese companies are contacting Indian companies to invest in India under this scheme too.

China wants to remain in America's electronics market with the help of India

According to experts, China wants to remain in the US electronics market with the help of India. Because America imports electronics and electronics machinery worth more than $400 billion every year and China has the biggest share in it. After the 145 percent duty, electronics items exported from China to America will become very expensive and they will not be able to survive in the US market.

According to sources, the government is ready to provide all kinds of help to companies of other countries that manufacture in China to start production in India. But if Chinese companies have a stake in these companies, then it will not be easy for them to invest in India.

In the current global business environment, India is seeing an opportunity to become a major exporter of electronics items and India also wants to manufacture all the components related to electronics items domestically so that the import of components from China can be stopped.

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