Chinese companies banned from highway projects and MSME sectors too, Union Minister Nitin Gadkari

New Delhi: Following the ban on 59 Chinese apps, the government is preparing to deliver another strong jolt to China. Nitin Gadkari, Minister for Micro, Small, medium enterprises (MSME), informed that the government is preparing a policy to stop Chinese investment in the infrastructure and MSME sectors. Gadkari said that the government would ensure that the Chinese companies will not be able to enter highway projects, even through joint ventures. At the same time, Prime Minister Narendra Modi is said to have issued a warning to China, by closing the account on the social media platform ‘Vibo’.


Chinese companies banned from highway projects and MSME sectors too, Union Minister Nitin GadkariChina seems to be frightened out of its senses, due to the reaction of the Indian government and people, to the martyrdom of 20 Indian soldiers in the Galwan Valley. The boycott of Chinese products by the Indian population has intensified and the contracts with the Chinese companies are being terminated. The Indian government, with its decision to ban 59 Chinese apps, has indicated that harsher decisions will be taken against China, who is not willing to retreat from Ladakh. The government has decided to stop Chinese investment in the MSME sector.

Henceforth, no Chinese company will be awarded highway contracts. Union Minister Gadkari also announced that the tenders process will be reinitiated for the highway projects, for which tenders have been floated if Chinese companies have participated in the tender process. Gadkari clarified that the same rule would be applicable for the ongoing projects. Gadkari informed ‘The Chinese entry in the MSME sector also will be prohibited. The local enterprises will be encouraged with incentives; the government is forming a policy to ensure this.’

China is fuming, following the ban on Chinese apps and is reminding India of the international trade rules. On the other hand, it is mocking the Indian decision. An article in the Global Times, the Chinese mouth piece, has bragged that the concerned Chinese companies will have to bear losses because of the ban, but India is not strong enough to rock Chinese economy. At the same time, another article in the Chinese mouthpiece threatened India of a trade war. after saying till about a year ago, India was a very good market for Chinese investment, the article also accepts that the relations have been spoilt. On one hand China, who is saying that the Indian decision will not make much difference, on the other threatens India of a trade war. The analysts are pointing out that the Chinese restlessness due to the decisions taken by India on the economic front, is clearly evident from this.

Meanwhile, Hu Shijin, the editor of Global Times, tried to mock the Indian campaign to boycott Chinese products and the ban. Shijin retorted that if the Chinese people decide to ban Indian products, there is nothing manufactured in India that can be banned. Shijin gave sarcastic advice to the Indian friends that do something more important than patriotism. Indian entrepreneur Anand Mahindra has given a fitting reply to these comments. Mahindra pointed out that the challenge has been accepted, saying ‘This reaction is a motivator for the Indian industry. Thank you for inciting us! We will emerge stronger with this.’

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