Further investments by the company in India, subject to receiving future FDI clearances, may be delayed until the business climate and consumer sentiment for Chinese products revives. India’s trade imbalance with China ($58 billion in 2018) has kept on expanding as the trade volume increased to just under $100 billion. Indiscriminate attacks on all things Chinese would actually harm the prospects of the vast pool of unskilled workers who have obtained employment in factories producing goods with Chinese investment." Malik said that India’s infrastructure upgradation is being compared in Beijing to the “forward policy" that Chinese propaganda blamed as a trigger for the Sino-Indian war of 1962. While hardening the rhetoric on India, China will also be keen to contain any domestic consequences of border clashes and censor news about it.

Source: Mint June 21, 2020 14:37 UTC