India Rethinks China Trade Policy Amid Trump's Stance, Eyes Economic Revival
Business
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News18•20-01-2026, 15:30
India Rethinks China Trade Policy Amid Trump's Stance, Eyes Economic Revival
- •New Delhi considers easing restrictions on Chinese companies, balancing economic needs and strategic interests against Trump's uncertain policies.
- •Modi government focuses on economic impact, employment, and domestic production over nationalism, rethinking post-2020 curbs.
- •Investments creating jobs and enhancing domestic capabilities from Chinese firms may be welcomed, especially in non-strategic sectors.
- •Strict controls will remain on sensitive sectors like telecom, defense, and strategic infrastructure.
- •Possible relaxation of FDI rules (Press Note 3) and participation in government procurement for non-strategic areas are under discussion.
Why It Matters: India is re-evaluating its trade policy with China, prioritizing economic growth and job creation while maintaining strategic security.
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