Tough Security Clearances for Chinese Companies Will Hurt India More: Chinese Media
Girish Shetti | | Apr 06, 2016 06:40 AM EDT |
(Photo : Getty Images) China's state media on Wednesday criticized New Delhi’s tentative move to tighten security clearances for Chinese companies.
Amid reports that India is mulling a decision to tighten security clearances for Chinese companies, Chinese state media on Wednesday criticized New Delhi's tentative move, saying that it will hurt them more.
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An article published in state run Global Times said, "India stands to lose more than gain if it tightens its security checks on Chinese firms if it scrapped security clearance to Chinese companies."
The article further stated that Chinese companies will be hesitant to invest in India in the wake of tough security clearances and India's economic development will be hindered as a result.
"Chinese companies may think twice about their expansion plans in India over the possible security clearance review. Thus, India's development, which relies on China to improve its poor infrastructure, will be hindered," Hu Zhiyong, a researcher in Shanghai Academy of Social Sciences, told Global Times.
The article appeared just a day after reports emerged that New Delhi may review its liberalized investment policies for Chinese companies. The move was touted as a punitive action against China as it blocked India's bid in the United Nation to blacklist Pakistani militant Masood Azhar.
India followed liberalized investment policy to improve relationship with China
In a bid to improve its strained relationship with Beijing, during the visit of Indian Prime Minister Narendra Modi to China last year, he announced several initiatives. One such initiative was to remove China from the list of "country of concern," which made security clearances for Chinese companies easier than ever before.
The initiative lead to asharp rise in Chinese investment in India, with several big Chinese companies including Huawei Telecommunications announcing huge investment plans.
China's proximity with Pakistan is a diplomatic thorn in Indo-Sino relations
Experts claim that China's close diplomatic ties with India's arch rival Pakistan has further complicated its relationship with New Delhi. China's continuous supply of military and financial aid to Pakistan has been viewed with skepticism by India.
Apart from offering aid, Beijing has also blocked several "anti Pakistani resolutions" initiated by India at international forums in the past.
Experts say that China's pro-Pakistan policy is purely aimed at piling pressure on India.
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