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India competes with China the wrong way

Updated:2010/7/9 13:47

Although India has publicly assured that it is not banning Chinese telecom products, a recent Indian media report revealed that its government has a blacklist, which actually bars 25 Chinese telecom manufacturers in the name of security precautions.

The Chinese embassy in India Wednesday confirmed this.

Telecom equipment produced by big Chinese companies such as Huawei and ZTE have been exported to many countries and regions in the world and worked perfectly well without complaints about security glitches. Then why these worries in India when it comes to Chinese products, while other foreign brands such as Nokia and Siemens were given a green light?

The Indian government may not give a clear answer. But this is not the first time that the Indian government has raised its big stick against Chinese companies or products. By adopting protectionist measures against Chinese batteries, clothing, toys, electronics, motorcycles and even cars, the Indian government has been raising barriers against high-tech equipment from China in recent years.

It is understandable when the Indian government does this to promote its own industry, especially in certain manufacturing areas that have not grown strong enough to compete with international rivals.
But in the recent case of telecom equipment procurement worth $2 billion, how come other foreign brands were let in while Chinese products alone singled out for exclusion?

There is nothing unhealthy in India seeing China as a major competitor in the race to rise as a new star in Asia and the world. Competition often helps each side to come up with better products and services. But competition should be conducted in the open, not under the table.

There are a significant number of Indian outsourcing companies operating in China, but seldom has there been any complaint about discriminatory treatment.

Chinese telecom operations in India hire 90 percent of their employees locally. It was not only job opportunities they have provided, but also products priced lower than other foreign brands. Therefore, banning Chinese brands will not help either side.

Indian Prime Minister Manmohan Singh reportedly called upon his government officials and the public to learn from a speech by Chinese Pre-mier Wen Jiabao, titled "Only an open-minded country will prosper."

But what Singh's administration has been doing is a disappointment.

Chinese people respect India as an admirable Asian neighbor, and have never been suspicious of its ambitions or jealous of its advancement in certain areas, such as the IT industry.

In contrast, India has not reciprocated with due respect or trust. Most disputes in recent years have started with suspicion or hostility on the Indian side, and China was forced to respond.

India should realize that it is unwise and impossible to try to contain the growth of its neighbor.

Both countries should believe that Asia is big enough to withstand and benefit from the rise of two powers.

 Source:Global Times
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