How can India reconsider its relationship with China?

  • by Amandeep Saluja
  • July 18, 2020

The Recent lethal confrontation between India and China over a portion of land has compelled New Delhi to review its ties with China. Things do not seem to come to normal as both countries are still engaged in huge military buildup operations along their conflicted land. Even before this dispute, India was bothered about its yawning trade deficit with China.

The key issue between India and China is going to be a commercial association. Chinese companies over the years have invested a huge amount of money into Indian startups and Tech companies. Actually last year alone Venture Capital funds and Chinese tech companies spend around more than $3 billion in India. India provides Chinese tech companies with practical experience of whether they can grow internationally or not.

The two major points for the Future come up because of this conflict. First will the different Indian companies will be ready to accept Chinese funding and co-operation in the coming time. The second concern comes from the Chinese side that whether they would consider investing in India as a secure option.

TikTok along with 59 other Chinese apps, has been banned by India. Also, customs clearance of Chinese imports at the ports and airports have been rolled back at Indian ports and Airports. But India should not forget its dependence on Chinese pharmaceutical raw ingredients, low price mobile components, and automotive Industry components.
Basically, India right now in these tough times asking itself a question that can it dependent on a country that is hostile to us.

China, on the other hand, would not like to accelerate the matter as its relationship with the US has already been low since the 70s. Similarly, China’s relationship with the European Union and the Western world are strained. Comparing this with Asia China’s decisive attitude in the Soth China Sea has alienated half of south-east Asia.

So what holds for India in the future. India will be getting closer to countries like Australia and Japan that have concerns with China. There is group Called Quad whose members are Australia, Japan, India, and the US. Several policymakers believe that in future India would voluntarily engage more in the Quad operations and finally choose aside.

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Amandeep Saluja

Amandeep is a Co-founder & Business Development Executive at TSD Networks. Contact at 'amandeep@tsdnetwork.com'
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