India open to Chinese investment, says minister

INDIA is open to Chinese investment despite border clashes between the two countries, the deputy minister for information technology Rajeev Chandrasekhar told the Financial Times in a report published on Wednesday (26).

"We are open to doing business with any company anywhere as long as they are investing and conducting their business lawfully and are in compliance with the Indian laws," Chandrasekhar told the FT, adding that India was "open to all investment, including Chinese".

New Delhi ramped up scrutiny of Chinese businesses after a 2020 border clash between the two countries, banning more than 300 Chinese apps, including TikTok.

Since then, India has intensified scrutiny of investments by Chinese firms.

The Economic Times, in a report published last week, said India rejected Chinese automaker BYD Co's proposal to set up a $1 billion factory in the country over security concerns with respect to Chinese investments.

However, the FT said BYD's application was "pending and still valid", citing an unnamed person with direct knowledge of the matter.

India commerce ministry officials did not respond to a request for comment. BYD did not immediately respond to a request for comment.

Separately, Apple's Chinese contract manufacturer Luxshare Precision Industry Co Ltd, which already has two plants in India, has applied for permission for another factory in the country, but Indian officials have not yet approved the project, the FT added.

Chandrasekhar told the FT he was unaware of Luxshare's application. Luxshare did not respond to a Reuters request for comment.

(Reuters)