Companies Back-up Chinese Manufacturers

- Advertisement -
- Advertisement -

To make the market roots deeper and increase competitiveness, multiple electronics manufacturers have requested the government to allow Chinese small-scale component makers to establish shops in India. This move comes after the request for clarification on the foreign direct investment (FDI) policy as it applies to countries which have a land border with India and its neighbours.

The India Cellular and Electronics Association, also known as ICEA also pursued the immediate payment of all inducements and remaining dues owed to the industry under various programs, which also include the production-linked incentive (PLI) scheme and other export advancement plans, on a June 23 letter to the Prime Minister Modi’s Office.

“A clarity on FDI Policy needs to be defined in view of the press note to facilitate shifting of companies which will help create the ecosystem, investments, create jobs, facilitate skill improvement, and help develop the overall sector,” ICEA Chairman Pankaj Mohindroo said in the letter. He also added that the lack of transparency on the policy for facilitating the shifting of global value chains (GVCs) with their ecosystems to India can damage the processes and mechanisms of companies looking to make the move.

- Advertisement -

India recently amended the foreign direct investment policy for countries sharing land borders on April 17, 2020, through the Press Note 3 to only authorise influxes through the administration route with the necessary clearances. The amendment took place amid the intensified Sino-Indian tensions and sought at dissuading investments from organisations based in China.

“Given the massive dependency on China for finished products, especially IT hardware, it is impossible to create a relocation pathway to deepen GVCs in India, without tier 2 and 3 manufacturers for finished products, sub-assemblies and components from China,” ICEA said.

Recently, Chinese firms in India have been under the scanner of the government and ED, namely Xiaomi and Vivo.


 

- Advertisement -

Related Artcles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Exclusive

Indian PC Market Grows 4% In Q4 2023, Local Manufacturing Efforts Ramp Up

0
IT procurement by enterprises and SMBs, delayed in the first half of 2023, is starting to take place and is expected to accelerate...

“Efficiency In Solar Energy Is More About Investment Rationale Than Resource Limitation”

0
Indian utility-scale solar company SolarArise claims to offer investors long-term, cash-generating assets and anticipates advancements in energy storage technologies to enable 24-hour clean power...

A New Form Factor Of Two Wheelers Takes Shape In India

0
The logistics sector has become India's biggest adopter of electric vehicles. However, attrition due to physical and mental fatigue is alarming for lease and...

Buzz

Subsidy Cuts Push E2W Makers Towards Budget Models

0
Electric two-wheeler manufacturers face reduced government subsidies and growing competition from established petrol vehicle brands in the upcoming fiscal year. These challenges compel them...

Nissan To Invest In Renault’s Ampere For EV Roadmap

0
The alliance aims to introduce both five-seater and seven-seater models for each brand in India. Japan's Nissan Motor has committed to investing in Renault's electric...
Blackwell architecture, NVIDIA

What did NVIDIA Announce in its Annual Conference?

0
At its annual developers conference, NVIDIA made a load of new announcements. From unveiling its Blackwell chips to flagging off project GR00T and major...

Important Sectors

Subsidy Cuts Push E2W Makers Towards Budget Models

0
Electric two-wheeler manufacturers face reduced government subsidies and growing competition from established petrol vehicle brands in the upcoming fiscal year. These challenges compel them...

Nissan To Invest In Renault’s Ampere For EV Roadmap

0
The alliance aims to introduce both five-seater and seven-seater models for each brand in India. Japan's Nissan Motor has committed to investing in Renault's electric...

TPEM And HPCL Team Up To Enhance EV Charging Infrastructure

0
The collaboration seeks to enhance the experience of electric vehicle owners in India and promote greater adoption of electric vehicles among the population. Tata Passenger...

Suzuki Makes Investment In IoT Expert Soracom

0
Key areas of interest include globally-marketed electric vehicles, modular 'mobility base units', and innovative technologies and services to achieve carbon neutrality. Just a month after...

EDAG, Baier Motors Develop Electric Motorcycle for Africa

0
The Oryx Concept motorcycle, a collaboration between EDAG Group and start-up Baier Motors, is designed to meet the increasing demand in Africa for a...

Manufacturing

JLR To Hire 250 Electrical Technicians For Future EVs

0
These new roles, part of a £15 billion investment, are in addition to 300 positions created last year by the British car maker. Jaguar Land...

Altmin India Partners With WMG To Advance Battery Tech

0
Altmin and WMG will collaborate to strengthen their global battery materials supply chain position by optimizing cathode materials and developing diverse cell designs across...

EVs To Cost Less Than Gas Vehicles by 2027, Says Gartner

0
Gartner predicts a faster decline in production costs compared to battery costs, which represent the most significant expense in an electric vehicle, accounting for...
MG

MG Motor To Set Up Battery Assembly Unit At Halol Facility

0
The company plans to investigate battery cell production in collaboration with external partners. Automaker MG Motor India is actively exploring the possibility of assembling and...

Servotech Boosts India’s EV Charging Infrastructure With Manufacturing Facility

0
The new facility is poised to start with an annual production capacity of 24,000 power modules and plan to scale up to 2.4 lakh...