DON’T TARGET CHINESE FIRMS, INDIA WILL LOSE OUT: CHINA MEDIA

BEIJING: India stands to lose if it tightens security clearances for Chinese firms in retaliation against Beijing blocking New Delhi’s move to ban Pakistan-based terrorist Masood Azhar, the state media warned on Wednesday.

Quoting India-focussed Chinese experts, the influential Global Times newspaper said Chinese firms will stop looking at the Indian market as a potential investment destination if clearances are tightened or existing ones revoked.

Chinese firms will stop expanding and India will lose out on the billions President Xi Jinping had promised to invest during his visit in 2014. Without China’s help, India’s need for finance in infrastructure will remain unfulfilled.

Senior officials told Hindustan Times in New Delhi that a review of clearances for Chinese firms will be carried out after China “blocked” a move to put Azhar, the chief of the Jaish-e-Mohammed, on a UN sanctions list.

“India stands to lose more than gain if it tightens its security checks on Chinese firms after Indian media claimed the country is considering scrapping security clearance to Chinese companies,” the analysts were quoted as saying.

“Chinese companies may think twice about their expansion plans in India over the possible security clearance review. Thus, India’s development,whichreliesonChina to improve its poor infrastructure, will be hindered,” said Hu Zhiyong from the Institute of International Relations at the Shanghai Academy of Social Sciences.