Indian government maintains investment restrictions on Chinese companies over ownership concerns and ties with military, despite private sector requests.

The Indian government is standing firm on its decision to maintain investment restrictions on Chinese companies, citing concerns over their opaque ownership and ties with the Chinese military. Despite calls from the private sector to relax these restrictions, the government remains vigilant due to issues such as China’s non-market economy practices and their potential impact on India’s manufacturing sector. The decision to uphold these restrictions reflects India’s cautious approach towards Chinese investments and highlights the importance of national security considerations in economic decision-making.

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