According to a report by The Economic Times on November 4, the Indian government plans to expedite the approval of backlogged applications from local companies importing electronic components, footwear, daily household items, steel products, and raw materials from China. This move is seen as the latest sign of thawing bilateral trade relations — after the border clash in 2020, India had once suspended related import approvals. There are two reasons for this policy shift. First, recent improvement in bilateral relations has led China to resume exporting key materials such as rare earth magnets in the fields of electric vehicles, renewable energy, and consumer electronics to India. Second, the reduction in the consumption tax on September 22 stimulated a surge in consumer demand, resulting in the first-ever supply shortage of high-end home appliances such as large-screen televisions, dishwashers, and washing machines. According to the new regulations, the Bureau of Indian Standards (BIS) will speed up the issuance of mandatory certifications for factories in countries such as China, helping local companies replenish their inventory to meet holiday consumer demand. It is worth noting that although Sino-Indian economic and trade cooperation is gradually resuming, Chinese investment in India still needs to go through the mandatory approval process stipulated by "Notification No. 3" (PN3).
Original article: www.toutiao.com/article/1848061879069130/
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