Final steps to enable Chinese experts who are required in industrial facilities to get a visa: Official

India has always insisted that the normalization of relations generally depended on the peace and quiet along the LAC.

The action is significant since certain local manufacturing companies have brought attention to the problem of Chinese technicians' delayed visa processing. These specialists are needed for tasks like equipment installation and maintenance in addition to worker training in India.

The government is preparing to implement similar procedures for other manufacturing units after creating a standard operating procedure (SOP) to expedite visa applications for Chinese specialists whose knowledge is needed by vendors under the PLI program, according to an official.

The action is significant since certain local manufacturing companies have brought attention to the problem of Chinese technicians' delayed visa processing. These specialists are needed for tasks like equipment installation and maintenance in addition to worker training in India.

"The majority of the production-linked incentive scheme (PLI) visas have been processed. We are working with the Ministry of Home Affairs to improve and simplify the SOP for general manufacturing as well. It's nearing its conclusion. We're trying to resolve the issue. We've raised a lot of awareness," the representative said. The official said that the implementation of SOPs is an internal procedure to "loosen" rules in order to facilitate the visa applications of Chinese specialists or technicians whose knowledge is needed by local manufacturing units. As a result, the Union cabinet's permission is not needed.

These specialists often need a three to six month visa. An industry representative praised the decision and said that a SOP would be very helpful since these production units need certain Chinese individuals' experience. "The SOP will be a wise choice. Chinese technicians are employed in the footwear industry in nations like Vietnam and Cambodia. In addition, they are less expensive than Taiwanese or other specialists. Leading shoemaker and chairman of Chennai-based Farida Group Rafeeq Ahmed said, "It will help upscale our production."

With a budget of Rs 1.97 lakh crore, the PLI scheme was introduced in 2021 for 14 industries, including telecommunication, white goods, textiles, medical device manufacturing, cars, specialty steel, food products, high-efficiency solar PV modules, advanced chemistry cell batteries, drones, and pharmaceuticals. Payments of Rs 9,700 crore have been made to PLI recipients so far. According to the official, the amount was Rs 6,800 crore in 2023–2024.

Chinese companies' investments in India are also being closely watched after the government released press note 3 in April 2020. The government has mandated prior clearance for foreign investments from nations that share a land border with India under Press Note 3. China, Bangladesh, Pakistan, Bhutan, Nepal, Myanmar, and Afghanistan are these nations.

According to that ruling, the government must approve FDI proposals from certain nations before any investments in any industry may be made in India. Between April 2000 and March 2024, China sent only USD 2.5 billion in foreign direct investments (FDI) to India. Industry insiders claim that since the border impasse, trade and investment ties between the two nations are not as friendly. The Indian and Chinese armed forces have been engaged in a stalemate since May 2020, and despite their disengagement from many locations of friction, the border dispute has not yet been fully resolved.

India has always insisted that the normalization of relations generally depended on the peace and quiet along the LAC. China's non-tariff trade obstacles make it difficult for Indian businesses to export products there. India's imports increased to USD 101.74 billion from USD 98.5 billion in 2022–23, while its exports to China in 2023–24 were USD 16.65 billion compared to USD 15.3 billion in 2022–23. The government has implemented several measures, including mandated quality control standards and PLI programs, in an effort to lessen reliance on Chinese products.