States call for suspending trade with Chinese firms
ON SATURDAY, HARYANA ANNULLED TWO TENDERS FOR INSTALLATION OF SYSTEMS AT ITS THERMAL POWER PLANTS AT HISAR AND YAMUNANAGAR
NEW DELHI: Some states have started planning to cancel contracts with Chinese companies and instructed personnel to remove China-made apps from mobile phones amid growing clamour to boycott goods produced by the neighbouring country after clashes in Ladakh left 20 soldiers dead.
On Saturday, Haryana annulled two tenders for installation of flue gas de-sulphurization (FGD) system at their thermal power plants at Hisar and Yamunanagar. The works under the two tenders carried a financial implication of about ~780 crore, Haryana government officials said, adding that more contracts with Chinese firms would be cancelled in the next few days.
Uttar Pradesh took a similar tough line. “Uttar Pradesh will not purchase any Chinese stuff for its energy sector,” said state power minister, Shrikant Sharma. “We will see to it that even the vendors do not supply any goods that are made wholly in China or use any part of it made in China,” he said on Friday. His counterpart looking after industrial development in UP, Satish Mahana, however, said on Sunday that ending contracts with Chinese companies can have legal implications.
“Such things (cancellation of Chinese contracts) cannot happen overnight as such deals have legal issues,” he said.
Bihar chief minister Nitish Kumar expressed strong sentiments against the use of Chinese goods but his government has not issued any specific order in this regard. “There is need for reviewing previous trade agreements in a bid to ensure that Chinese products are not used,” Kumar had said at the all-party meeting called by PM Narendra Modi.
Bihar industry minister, Shyam Rajak, said there was no role of the state government in banning Chinese products. “Any foreign firms investing in the state has to get clearances from the Centre,” he said. On Sunday, Uttarakhand government instructed officials to find out which Chinese companies have been given government contracts.