Indian, Chinese firms seek technical tie ups amid JV nod delay: Report

Indian firms are keen to have a partnership with Chinese companies under the electronics component scheme despite tighter government checks

Indian and Chinese companies are betting more on technical tie ups instead of joint ventures under New Delhi’s electronics component manufacturing scheme, a report by The Economic Times said on June 18.

The Chinese firms are averse to joint ventures equity tie ups due to long delays in government approval and looming geopolitical tensions between the two countries, the paper said.

Indian firms are keen to have a partnership with Chinese companies under the electronics component scheme despite tighter government checks.

Meanwhile, amid the supply chain concerns over the availability of rare earth, the commerce ministry on Monday had said that it is in discussion with Chinese firms to resolve the issue as soon as possible.

Beijing has brought a regime where "perhaps licences will be required, so we are facilitating our importers and our auto players in whatever way possible", Commerce secretary Sunil Barthwal said.