Source: Global Times
Author: Long Xingchun
After the conflict of the Gallawan Valley in China and India in June, India adopted a series of measures such as resisting Chinese goods, restricting Chinese investment, banning Chinese mobile apps and Chinese equipment, and canceling Chinese companies participating in Indian infrastructure construction. Recently, it has clearly excluded Chinese enterprise participationIndia 5G construction.
In response to India's behavior, some public opinion believes that the Indian government is cater to domestic nationalist emotions, and some public opinion believes that it is part of India's long -planned self -reliance plan.Indian domestic products to promote India's manufacturing.India's crackdown on Chinese -funded enterprises is also selective. It has strict restrictions on Chinese -funded enterprises exporting to India, in the Indian package engineering and the Internet, and is gentle for Chinese -funded enterprises investing in factories in India.The purpose of India is to attract more Chinese manufacturing enterprises to invest in India's heavy asset investment. For industries such as the Internet and contracting projects, they must leave more opportunities to their own companies.
Both interpretations have some truth. It is only because of strong anti -China emotions and trying to decompose.EssenceIt is not wrong to pursue economic self -reliance, but through protectingism, eliminating foreign investment and foreign commodities, not only cannot achieve the purpose of self -reliance, but it may also damage its ability to self -reliance.
In recent years, with the improvement of the popularization rate of smartphones, the mobile Internet has developed at a high speed in India, attracting a large number of foreign companies, including China to grab the beach of the Indian mobile Internet market. According to statistics, the 10th APP with the highest downloads in India in 2019 in 20197 of them are from Chinese or Chinese -funded enterprises.Some foreign companies do not even need to set up offices in India, and Indian staff can enter the Indian market without hiring.The business model of light assets makes many Indian consortia jealous and intended to be replaced.There are many mobile apps of users who seem to have high profits assets. In fact, they have a large number of core technologies. They are based on the huge burning money in the early stage. After the Chinese APP is disabled, it is difficult to say whether India's domestic enterprises have corresponding technology and sufficient venture capital investment.Remove your own products.
The quality and efficient Chinese infrastructure cannot be replaced in the short term.The Ministry of Transport of India has banned Chinese enterprises from participating in its road construction, power and power departments have announced the disability of China Electric Power Equipment, and the Indian railway claims to ban the Chinese control system because they mistakenly believe that Chinese companies participate in Indian infrastructure to make money, and they should make this money to make money.Opportunities for Indian companies.If India really has related infrastructure companies and equipment, how can there be opportunities for Chinese companies to have Chinese companies in the Indian market with serious protectionism?For a long time, the backward infrastructure is the bottleneck restricting India's economic development, especially the development of manufacturing. India ’s country lacks the ability to quickly improve infrastructure. Chinese infrastructure is known for its low cost, good quality, and high efficiency.Slow Indian infrastructure improvement process.
India intends to attract foreign -funded and Chinese -funded manufacturing industries in China. China has also proactively proposed to India to explore China -India's manufacturing partnership, indicating that China is willing to further encourage the manufacturing industry to invest in India. In recent years, many Chinese companies have also shown investment in India.interest of.In this wave of resistance in China, India is relatively mild in the manufacturing industry, which is relatively moderate, implying that I hope that China's manufacturing industry will invest more in India, but without the necessary legal procedures, the behavior of resisting China's behavior is damaged without showing any evidence on the grounds of security but no evidence.India's investment environment has made Chinese investors deeply aware of the political risks of investing in India, coupled with the still effective enemy country property law, so that the Chinese companies that were originally planned to invest in India are prohibitive.
Resisting China also crack down on the confidence of other countries' investment in Indian investment.As the world's second largest economy, the world's first manufacturing country, China occupies an important position in the global industrial chain.The production of these companies cannot be carried out normally.If India continues to resist Chinese products and equipment, not only does the Chinese manufacturing industry not invest in India, but also fights the confidence of manufacturing in other countries in India's investment. It has tried their bestIt is impossible.
Before the reform of economic liberalization in the early 1990s, India had long rejected foreign capital for a long time and pursued the self -reliance of imported replacement. Historical experience has proved that this is an important reason for India's economic development.Indian manufacturing can only learn to grow in cooperation with foreign advanced enterprises and enhance their self -reliance.
