India Industries Ask For Protection Against Cheap China Imports
Raymond Legaspi | | Dec 30, 2014 08:37 PM EST |
(Photo : Reuters) Prime Minister Narendra Modi (R) and China's President Xi Jinping wave before their meeting in Ahmedabad September 17, 2014.
Indian industries seek a limit on imports from China and a string of other measures to give local manufacturers a chance against a tidal wave of cheap Chinese imports.
Industry players also pushed for a policy on import substitution, the fixing of an inverted duty structure and cuts to costs of capital during a state-sponsored 'Make in India' workshop on Monday.
Like Us on Facebook
They are asking Prime Minister Narendra Modi's government to raise duties within limits of the World Trade Organization to help shield local manufacturers from cheap Chinese imports, especially heavy industry, power equipment, and capital goods, reports said.
India has a wide $36 billion trade deficit with imports at $51 billion and exports at $15 billion. Equipment and machinery made up a quarter of Chinese imports last year at around $5 billion.
While India's bound tariff rate averaged about 48.6%, the mean customs duty is around 14%.
Indian firms such as Larsen & Toubro also told the government to raise domestic content requirement standards to give local manufacturers a competitive edge, but this has been a major point of contention between India and the US.
The US sought WTO intervention earlier this year over the requirement for local content in the construction of the National Solar Mission, crying discrimination against US manufacturers of solar cells and modules.
Participants also took up targets for import substitution and targets for the power equipment sector.
An industry participant said the New Delhi officials came across as being very accommodating in relation to an inverted pay structure and the protection of the domestic market.
A senior government leader said DIPP has come up with a list of items where the inverted structure based on duty needed to be fixed and the finance minister will mostly likely take it up.
©2015 Chinatopix All rights reserved. Do not reproduce without permission
EDITOR'S PICKS
-
Did the Trump administration just announce plans for a trade war with ‘hostile’ China and Russia?
-
US Senate passes Taiwan travel bill slammed by China
-
As Yan Sihong’s family grieves, here are other Chinese students who went missing abroad. Some have never been found
-
Beijing blasts Western critics who ‘smear China’ with the term sharp power
-
China Envoy Seeks to Defuse Tensions With U.S. as a Trade War Brews
-
Singapore's Deputy PM Provides Bitcoin Vote of Confidence Amid China's Blanket Bans
-
China warns investors over risks in overseas virtual currency trading
-
Chinese government most trustworthy: survey
-
Kashima Antlers On Course For Back-To-Back Titles
MOST POPULAR
LATEST NEWS
Zhou Yongkang: China's Former Security Chief Sentenced to Life in Prison
China's former Chief of the Ministry of Public Security, Zhou Yongkang, has been given a life sentence after he was found guilty of abusing his office, bribery and deliberately ... Full Article
TRENDING STORY
-
China Pork Prices Expected to Stabilize As The Supplies Recover
-
Elephone P9000 Smartphone is now on Sale on Amazon India
-
There's a Big Chance Cliffhangers Won't Still Be Resolved When Grey's Anatomy Season 13 Returns
-
Supreme Court Ruled on Samsung vs Apple Dispute for Patent Infringement
-
Microsoft Surface Pro 5 Rumors and Release Date: What is the Latest?